A Reverse Stock Split is a corporate action that reduces the number of outstanding shares by combining multiple shares into a single share (e.g., 10-for-1), which increases the per-share price proportionally while generally leaving total equity value unchanged absent market effects. In public markets and some late-stage private restructurings, a Reverse Stock Split is used to meet listing requirements, reduce shareholder counts, or reset share price optics, and Reverse Stock Split mechanics require board and often shareholder approval.
