NEW YORK, July 22, 2026, 15:10 (EDT)
- Nasdaq continued trading during normal hours. Zhibao was last seen at $0.285, an increase of 57%.
- The initial bitcoin offer had an estimated value of $230.2 million, roughly 24 times the projected equity value of Zhibao.
Zhibao Technology Inc. NASDAQ:ZBAO jumped on Wednesday following news of a non-binding PIPE deal tied to roughly 3,500 bitcoin. Despite the stock surge, its initial equity valuation remained about 4% of the planned crypto capital.
Bitcoin was quoted at $65,778, putting the value of 3,500 coins at approximately $230.2 million. Zhibao’s equity was estimated at $9.7 million, based on 34.06 million shares reported as of April 20.
The comparison does not indicate value accruing to existing holders. The filing did not specify a subscription price, number of securities, or the ownership breakdown after the transaction.
The buyer is anticipated to appoint a majority of the board upon closing. Existing management would continue to run the insurance business until any potential separation, sale or restructuring. As a result, the proposal is structured more like a control deal than a standard treasury acquisition.
Zhibao was last trading at $0.285 at 2:54 p.m. EDT. Earlier, the stock reached $0.409, marking a 126% increase compared with its Tuesday close. Trading volume was 457 million shares.
The figure was 26.5 times greater than the number of Class A shares disclosed in April.
| Measure | Latest figure | Investor comparison |
|---|---|---|
| Proposed PIPE consideration | 3,500 BTC, around $230.2 million | 23.7 times projected equity value |
| Preliminary equity value | Roughly $9.7 million | 34.06 million shares priced at $0.285 |
| Fiscal first-half revenue | $29.5 million | Bitcoin amount is 7.8 times the revenue |
| Intraday trading volume | 457.0 million shares | 26.5 times the April Class A shares total |
Initial comparisons are based on intraday pricing. Disclosed share counts are as of April 20 and could have since been updated.
JOYERTECH AND INFORMATION OPC plans to subscribe to Zhibao securities. The bitcoin payment is still pending valuation, custody agreements, audit confirmation and regulatory clearance. Compliance with Nasdaq requirements is also necessary.
The filing did not specify a closing date, exchange ratio, or valuation method. It also omitted details about the buyer. As a result, investors are unable to determine their ownership after the transaction or the net asset value per share.
Chief Executive Botao Ma stated in March: “The 41% revenue increase and our return to profitability reflect the successful execution of our growth strategies.” Fiscal first-half revenue was reported at $29.5 million. Company filings additionally revealed a $619,000 loss applicable to Zhibao shareholders.
Zhibao reported a working-capital deficit of $4.3 million at the end of December. The company posted an operating cash outflow of $1.7 million. According to the unaudited accounts, these factors created significant doubt about the company’s ability to continue as a going concern.
An April prospectus registered as many as 23.78 million Class A shares for potential resale tied to note conversions. This figure was higher than the 17.25 million Class A shares that were outstanding at the time. The registration did not indicate those shares were issued.
Zhibao is also subject to a minimum-bid price deficiency from Nasdaq. The company must achieve a closing share price of at least $1 for a minimum of 10 straight trading days by January 6, 2027. Shares traded in the afternoon at a level 71.5% below the required minimum.
Risks are still significant. The term sheet might not reach a binding stage. Bitcoin is prone to sudden price swings, and undisclosed terms of issuance could substantially dilute existing holders. Not resolving the bid-price violation could result in delisting.
The upcoming key filing will determine the subscription price and amount of securities. Investors still require confirmed custody and completed closing terms. For now, the 3,500-bitcoin figure does not reflect the value per share.
