The share issuance bolsters CEO control ahead of a potential reverse stock split or capital increase as flagged in the prior 20-F. Monitor for shareholder proposals on share consolidation and any subsequent dilutive offerings. The stock's micro-cap OTC nature limits liquidity and tradeability.
Price Chart
Executive Summary
MDJM LTD adopted a 2026 Equity Incentive Plan and immediately issued 200,000 Class B ordinary shares to CEO Siping Xu, increasing his voting control to approximately 89.58%. The filing further entrenches insider control at a company already suspended from Nasdaq and trading on the OTC market with minimal revenue and ongoing losses.
Key Facts
- Adopted 2026 Equity Incentive Plan with reserve of 200,000 Class A and 200,000 Class B ordinary shares.
- Issued 200,000 Class B ordinary shares to CEO Siping Xu for past services, increasing his voting control to 89.58%.
- Company was suspended from Nasdaq in March 2026 due to sub-$0.10 share price and now trades OTC (UOKAF).
- Prior 20-F showed net loss of $41,321 in 2025 on minimal revenue of ~$90,000 from UK hospitality segment.
Financial Impact
Issuance of 200,000 Class B shares (par value $0.875/share, aggregate par value $175,000) with no cash consideration to the company. Minimal financial impact given the company's distressed state.
Risk Factors
- Entrenched insider control (89.58%) reduces minority shareholder influence.
- Potential dilutive recapitalization as indicated in prior filings.
- Continued OTC trading with minimal revenue and negative earnings.
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 5 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 6-K Filing (Primary) | 0001104659-26-054910 |
| Document: tm2613398d1_6k.htm | 0001104659-26-054910 |
| Document: 0001104659-26-054910-index-headers.html | 0001104659-26-054910 |
| Document: 0001104659-26-054910-index.html | 0001104659-26-054910 |
| Document: 0001104659-26-054910.txt | 0001104659-26-054910 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Sep 2, 2026 7w ago | 6-K | $0.2500 $0.2000 | ▼ −20.00% | ▼ −18.88% | $0.1350 (−46.00%) |
Aug 17, 2026 10w ago | 6-K | $0.3000 $0.2500 | ▲ +16.67% | ▲ +15.68% | $0.1350 (+55.00%) |
Jul 23, 2026 13w ago | 6-K | $0.1400 $0.3180 | ▲ +127.14% | ▲ +123.52% | $0.1350 (−3.57%) |
Jun 29, 2026 17w ago | 6-K | $0.3590 $0.1250 | ▼ −65.18% | ▼ −64.92% | $0.1350 (−62.40%) |
Jun 11, 2026 19w ago | 6-K | $0.3160 $0.1502 | ▼ −52.47% | ▼ −53.73% | $0.1350 (−57.28%) |
May 27, 2026 21w ago | 6-K | $0.3500 $0.3588 | ▼ −2.51% | ▼ −5.66% | $0.1350 (+61.43%) |
May 20, 2026 22w ago | 6-K | $0.3310 $0.4300 | ▲ +29.91% | ▲ +29.58% | $0.1350 (−59.21%) |
May 6, 2026 24w ago | 6-K | $0.0550 $0.4230 | ▲ +669.09% | ▲ +665.92% | $0.1350 (+145.45%) |
May 4, 2026 25w ago | 6-K | $0.0550 $0.3940 | ▲ +616.36% | ▲ +612.15% | $0.1350 (+145.45%) |
Apr 22, 2026 26w ago | 6-K | $0.0560 $0.3310 | ▼ −491.07% | ▼ −486.23% | $0.1350 (−141.07%) |
US Market Status
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