American Bitcoin Corp. (Nasdaq: ABTC) announced a 15-for-1 reverse stock split on July 1, effective July 6, in a bid to lift its share price and remain listed on the Nasdaq Capital Market. The company, a majority-owned subsidiary of Hut 8 Corp., faces pressure from persistent low trading prices.
The board approved the ratio after a shareholder vote at the June 22 annual meeting. Pre-split, ABTC had roughly 1.092 billion total shares outstanding, with Class A common shares at about 360 million. Post-split, total shares shrink to around 73 million, Class A to roughly 24 million. The stock will trade under the same ticker ABTC with a new CUSIP: 02462A203.
The split takes effect after market close on July 2. No fractional shares will be issued; odd lots will be cashed out automatically by the transfer agent Continental Stock Transfer & Trust Company without interest. Shareholders holding through brokers or directly need no action; certificate holders will receive instructions by mail.
Market headwinds and the capital structure fix
Reverse splits mechanically raise per-share price without changing company fundamentals. Bitcoin's recent drop below $60,000 has squeezed mining firms' revenues and access to capital. ABTC aims to buy time through financial engineering, leaning on Hut 8's resources and its disciplined bitcoin accumulation strategy. Whether that will restore market confidence remains an open question once trading resumes.