Wearable Devices Ltd. (NASDAQ: WLDS) announced today that it will implement a 1-for-3 reverse share split of its ordinary shares and publicly traded warrants, effective at the opening of trading on June 22, 2026. The company stated that the reverse split is intended to increase the per-share trading price of its ordinary shares and regain compliance with Nasdaq's $1.00 minimum bid price requirement for continued listing on The Nasdaq Capital Market.
The reverse split, previously approved by shareholders and the board of directors, will reduce the number of outstanding ordinary shares from approximately 6.57 million to 2.19 million and reduce publicly held warrants from approximately 32,886 to 10,962, subject to rounding adjustments. Wearable Devices emphasized that the transaction will not alter shareholders' proportional ownership interests, other than minor changes resulting from the treatment of fractional shares, and will include corresponding adjustments to outstanding options, warrants, restricted share awards and equity incentive plans.
This corporate action is a critical step for Wearable Devices to maintain its listing on the Nasdaq Capital Market, which requires a minimum bid price of $1.00 per share. The company's shares have traded below that threshold, prompting the need for a reverse split to boost the stock price. While reverse splits can sometimes be viewed negatively by investors as a sign of financial distress, they are a common mechanism for companies to meet exchange listing requirements.
Wearable Devices Ltd. is a growth company pioneering human-computer interaction through its AI-powered neural input touchless technology. Its consumer products, the Mudra Band and Mudra Link, define the neural input category for wrist-worn devices and brain-computer interfaces. The company operates through a dual-channel model of direct-to-consumer sales and enterprise licensing and collaborations.
The newly launched ai6 Labs ecosystem accelerates this vision by integrating research, products, and AI breakthroughs. Wearable Devices' ordinary shares and warrants trade on the Nasdaq Capital Market under the symbols "WLDS" and "WLDSW," respectively. For more information, visit the company's newsroom at https://ibn.fm/WLDS.
This reverse split is a pivotal move for Wearable Devices to ensure its continued presence on a major exchange, which is vital for investor confidence and access to capital markets. The company's ability to maintain its Nasdaq listing will be crucial as it continues to develop and market its innovative neural input technologies.
