Dragonfly Energy Holdings Corp. announced a 1‑for‑10 reverse stock split of its common shares, effective for trading on December 18, 2025. The action will reduce the number of shares outstanding from roughly 120.8 million to about 12.1 million, while the par value per share remains unchanged at $0.0001.
The company said the split is a technical step designed to keep the stock compliant with Nasdaq’s listing requirements. Dragonfly had previously regained compliance on October 21, 2025, but the new split indicates that the share price has again fallen below the minimum bid price threshold, prompting a proactive move to avoid potential delisting.
Board approval of the split was granted on December 2, 2025, and stockholder approval was obtained on October 15, 2025. The split will be reflected under a new CUSIP number, 26145B 403, and fractional shares will be paid in cash. The par value and the company’s capital structure remain unchanged, and the split does not alter its business operations.
While the reverse split will not change Dragonfly’s market capitalization or operational strategy, it is expected to raise the per‑share price and could improve liquidity for investors. The company’s shares will continue to trade under the ticker DFLI on the Nasdaq Capital Market after the split.
CEO Dr. Denis Phares emphasized that the reverse split is a “technical step to maintain Nasdaq compliance and position the Company for its next phase of growth.” He added that recent capital raises and debt restructuring have strengthened the balance sheet and improved liquidity, and that the company is focused on scaling revenue, deepening strategic partnerships, and investing in differentiated battery technologies.
Investors reacted negatively to the announcement, reflecting concerns about the company’s ability to meet Nasdaq’s minimum bid price and the broader implications for its financial health. The reverse split is a routine compliance measure, but it signals ongoing challenges with the share price and the company’s compliance status.
Dragonfly had previously executed a 1‑for‑9 reverse split effective November 22, 2024, indicating a pattern of adjusting its share structure to meet listing requirements. The company’s history of compliance and subsequent reverse splits underscores the importance of maintaining a share price above Nasdaq’s minimum threshold.
In summary, the 1‑for‑10 reverse stock split is a technical action that does not alter Dragonfly’s capital structure or business operations. It is intended to preserve Nasdaq listing status and may improve liquidity, but it also highlights the company’s ongoing challenges with share price compliance and investor confidence.
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