SmartKem, Inc. Announces 1-for-50 Reverse Stock Split

What Happened
SmartKem, Inc. filed a Certificate of Amendment with the Delaware Secretary of State to effect a 1-for-50 reverse stock split of its common stock, effective August 20, 2026 at 5:00 p.m. Eastern Time. At the Effective Time, every fifty issued and outstanding shares were converted into one share. No fractional shares were issued; any fractional share resulting from the split is being rounded up to the next whole share. Equiniti Trust Company, LLC served as the exchange agent. The reverse split did not change the par value of the common stock or the number of authorized shares. Per the terms of outstanding securities, the per-share exercise price and number of shares issuable under options and warrants, and the shares reserved under the company’s equity incentive plan, were adjusted proportionately.

Key Details

• Reverse split ratio: 1-for-50; Effective Time: August 20, 2026 at 5:00 p.m. ET.
• Fractional shares: no cash-out; fractional holdings rounded up to the next whole share.
• Exchange agent: Equiniti Trust Company, LLC handled the conversion.
• Options/warrants/equity plan: per-share exercise prices and share amounts adjusted proportionately; reserved shares under the equity plan reduced proportionately.
• Par value and authorized share count: unchanged.

Why It Matters
A 1-for-50 reverse split consolidates outstanding shares, reducing the number of shares held by shareholders by roughly a factor of 50 and increasing the ownership represented by each post-split share. The company adjusted option and warrant terms to preserve holders’ economic interests on a proportionate basis. Because fractional shares were rounded up, the final outstanding share count will be slightly higher than a strict 1/50 reduction. The reverse split does not change the company’s authorized shares, so SmartKem retains the ability to issue additional shares if it chooses. Investors should note the new share count and adjusted option/warrant terms when reviewing holdings and company filings.