NEW YORK, Jan 22, 2026, 07:52 EST — Premarket
- AREB surged roughly 20% in premarket trading following the announcement that the 1-for-20 reverse stock split will take effect on Feb. 2
- Filing revealed a new $181,700 note alongside additional debt-for-equity transactions with lenders
- Attention now turns to the Jan. 30 record date and the split-adjusted trading set for Feb. 2
Shares of American Rebel Holdings Inc jumped roughly 20% in premarket action Thursday following the announcement of a 1-for-20 reverse stock split set for early February. The Nasdaq-traded stock was last seen near $0.52. (MarketScreener)
The stock is now trading comfortably below Nasdaq’s $1 minimum bid threshold—a level that, if sustained, can cause serious compliance issues for smaller companies. A reverse split reduces the share count and usually boosts the share price by the same factor, leaving the company’s total market value intact.
American Rebel announced its reverse stock split will take effect at midnight Eastern time on Feb. 2, with shares trading on a split-adjusted basis when the Nasdaq opens that day. The company set the record date for shareholders as Jan. 30 and confirmed the ticker will remain “AREB,” though the shares will carry a new CUSIP. (GlobeNewswire)
The “round lot” protection caught attention: the company assured that anyone holding 100 shares or more before the split will still have at least 100 shares after. Fractional shares won’t be left hanging either—they’ll be rounded up to whole shares. This setup could be a big deal for small retail investors, whose stakes might have shrunk to just a few shares otherwise.
American Rebel said the split would shrink common shares outstanding from around 8.7 million to about 435,000, before accounting for any additional round-lot adjustments. The company also noted it had not received — and does not anticipate receiving — a Nasdaq deficiency notice related to its bid price.
The stock ended Wednesday at $0.4354, slipping 7.68% after fluctuating between $0.4250 and $0.4798. Volume topped 22 million shares, per price data. (Investing)
The company revealed in a securities filing a new $181,700 promissory note with 1800 Diagonal Lending, which brought in $150,000 net after discounts and fees. Scheduled repayments total $215,768, stretching through April 2027. The filing also detailed another exchange with Streeterville Capital, converting $115,000 of a secured note into 351,789 shares. Additionally, an amendment with Silverback Capital lowered the conversion floor price to $0.31 per share.
These shifts highlight just how much the near-term story hinges on capital structure: small financings, conversions, and share issuance. For traders, it’s a double-edged sword — the split might boost the quote, but ongoing issuance could drag the stock down.
American Rebel, headquartered in Tennessee, offers branded safes and personal security gear. The company has also ventured into the beer market with its American Rebel Light brand, according to company descriptions. (Seeking Alpha)
Still, reverse splits alone don’t solve the problem. If the stock can’t stay above crucial levels after the split, or if worries about dilution from debt conversions and fresh funding grow, the price can slide again—and the Nasdaq bid-price problem could resurface.