Golden Matrix Group, Inc. (NASDAQ:GMGI), an international gaming and ecommerce platform operator, has announced a reverse stock split of its common stock at a 1-for-12 ratio and a corporate name change to Meridian Holdings Inc. The changes are designed to ensure compliance with Nasdaq listing requirements and improve the company's capital markets positioning, with trading under the new ticker symbol MRDN expected to begin on March 3, 2026.
The reverse stock split will reduce the number of outstanding shares from approximately 151.7 million to about 12.6 million, while authorized shares will decrease from 300 million to 25 million. According to Chief Financial Officer Rich Christensen, this represents a strategic optimization that aligns the company with public company best practices and gaming industry standards. "By consolidating our shares, we are bringing our capital structure in line with companies of our scale and revenue profile," Christensen stated, adding that the move should position the company for broader access to capital markets.
The primary motivation for the reverse split is to address minimum bid price requirements under Nasdaq Listing Rule 5550(a)(2). Nasdaq requires listed companies to maintain a minimum bid price of $1.00 per share, and the consolidation is expected to raise GMGI's nominal share price to meet this threshold. The company's board approved the changes without requiring stockholder approval, exercising authority under Nevada Revised Statutes.
For shareholders, the reverse split will affect all holders uniformly without altering percentage ownership interests, except for those receiving cash payments in lieu of fractional shares. No fractional shares will be issued, with stockholders instead receiving cash payments based on the closing price of GMGI shares on the trading day immediately prior to the effective time. VStock Transfer LLC will serve as transfer agent for the transaction, with most shareholders not needing to take any action as brokers and financial institutions will handle the adjustments automatically.
The company will file necessary documentation with Nevada authorities and the Securities and Exchange Commission to implement the changes. Additional details about the reverse stock split will be available in the company's Form 8-K filing planned for March 3, 2026, which will be accessible through the SEC's website at https://www.sec.gov and the company's investor relations page at https://goldenmatrix.com/investor.
This corporate restructuring comes as Golden Matrix continues to integrate Meridianbet Group, which it acquired in 2024. The rebranding to Meridian Holdings reflects this expanded operational footprint across Europe, Africa, and South America. The timing of these changes allows the company to address regulatory compliance issues while potentially improving its appeal to institutional investors who often avoid low-priced stocks.
The implications of this announcement extend beyond mere technical adjustments. For the gaming industry, it represents another example of consolidation and strategic positioning in a competitive market. For investors, it signals management's focus on maintaining exchange listing status while potentially creating a more favorable perception among market participants. The success of this corporate action will depend on whether it achieves its stated goals of improved market access and sustained compliance with exchange requirements.
