Fingerprint Cards AB Announces Major Reverse Share Split

In a decisive move that has sent ripples through the financial markets, Fingerprint Cards AB, a Swedish information technology company specializing in biometric systems, has announced a significant reverse share split. The company’s board has set the record date for this split, which will see 2,000 existing shares consolidated into one new share at a ratio of 1:2,000. This decision, made during the annual general meeting on June 24, 2025, marks a pivotal moment for the company, which has been grappling with a dramatic decline in its stock value.

A Descent into the Abyss

Fingerprint Cards AB, once a beacon in the biometric technology sector, has seen its stock price plummet to a 52-week low of SEK 0.01 as of May 29, 2025. This stark decline from its 52-week high of SEK 0.17 on October 7, 2024, underscores the challenges the company faces in a highly competitive market. The reverse share split, set to take effect on July 11, 2025, is a strategic attempt to bolster the stock’s market perception and liquidity. However, it also raises questions about the company’s underlying financial health and future prospects.

The Mechanics of the Split

The reverse share split will reduce the total number of shares from 15,175,375,766 to 7,587,687, effectively consolidating the company’s equity. This move will also result in a new ISIN code for the B-actie, SE0025420235, and adjust the share price to reflect the consolidation, with each new share valued at SEK 21.35. While this may improve the stock’s marketability, it does little to address the fundamental issues that have led to its current valuation.

A Critical Juncture

For investors and stakeholders, this reverse share split represents a critical juncture. On one hand, it could be seen as a necessary step to stabilize the stock and make it more attractive to institutional investors. On the other hand, it may be perceived as a superficial fix that fails to tackle the deeper operational and strategic challenges facing Fingerprint Cards AB.

Looking Ahead

As Fingerprint Cards AB navigates this turbulent period, the company must focus on innovation and market expansion to regain its footing. With operations spanning smartphones, smartcards, PCs, and the automotive industry, among others, the company has a diverse portfolio that could be leveraged for growth. However, this will require a concerted effort to enhance product offerings, improve operational efficiency, and strengthen market presence.

In conclusion, while the reverse share split may provide a temporary boost to Fingerprint Cards AB’s stock price, the company must address its core challenges to ensure long-term sustainability and success. Investors should remain cautious and closely monitor the company’s strategic initiatives in the coming months.