URBAN ONE, INC. ANNOUNCES REVERSE STOCK SPLIT
MWN-AI** Summary
Urban One, Inc. has announced a reverse stock split of its common stock at a ratio of 10-for-1, as approved by its Board of Directors and stockholders. This decision was made to comply with Nasdaq Capital Market's minimum bid price requirement of $1.00 for its Class D Common Stock. The reverse stock split will be effective at 11:59 PM on January 22, 2026, with shares beginning to trade on a split-adjusted basis the following day.
Under this arrangement, ten shares of both Class A and Class D Common Stock will automatically convert into one share of their respective classes, while shares will retain their existing trading symbols "UONE" for Class A and "UONEK" for Class D. Importantly, no fractional shares will be issued; instead, stockholders entitled to fractional shares will receive cash equivalent to the closing price on the effective date.
The move aims to address the company's compliance issues without affecting the overall business operations, stockholders' equity, or ownership percentages. Urban One is the largest diversified media company focusing on Black Americans and urban consumers, owning numerous broadcast stations and the TV One network, which provides a wide array of content for Black viewers.
In addition to traditional media, Urban One owns multiple digital platforms catering to African American audiences. The reverse stock split is expected to reinforce the company's financial standing and enhance shareholder values while allowing the company to continue to provide targeted media services.
MWN-AI** Analysis
Urban One, Inc. (Nasdaq: UONE and UONEK) has recently announced a 10-for-1 reverse stock split, set to take effect on January 23, 2026. This strategic move is primarily aimed at complying with Nasdaq's minimum bid price requirement and may, in the short-term, enhance the stock's appeal by raising its per-share price. Such a split can sometimes attract institutional investors who are averse to lower-priced stocks, potentially leading to increased liquidity.
From a market advice perspective, investors should consider both the implications of the reverse stock split and the underlying fundamentals of Urban One. While the immediate result of a reverse stock split is a higher stock price, it does not inherently change the company’s value or operational performance. Therefore, stockholders should evaluate the company's financial health, recent operational trends, and market positioning within the media landscape.
Urban One operates in a niche market, focusing on content that resonates with Black Americans and urban consumers. Given its extensive portfolio, including TV One and numerous radio stations, the company maintains a strong foothold in its target demographic. However, investors should be mindful of the competitive nature of the media industry and any potential challenges Urban One may face in terms of viewership or ad revenue.
Additionally, investors should assess how the reverse stock split may influence market perceptions—while it can help in regaining compliance with listing standards, it may also be viewed as a signal of financial distress.
In conclusion, potential investors should watch for market reactions around the time of the split, conduct thorough due diligence on Urban One’s business fundamentals, and consider the broader trends in the media sector before making any investment decisions.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
PR Newswire
SILVER SPRING, Md., Jan. 16, 2026 /PRNewswire/ -- Urban One, Inc. (Nasdaq: UONE and UONEK) (the "Company"), today announced that its Board of Directors (the "Board") has approved a reverse stock split of all classes of its common stock (collectively, the "Common Stock"), including its publicly traded shares of Class A Common Stock and Class D Common Stock at a ratio of 10 for 1. Stockholders previously approved the reverse stock split on June 18, 2025, and provided the Board with discretion to determine the final reverse stock split ratio.
The reverse stock split is being conducted to regain compliance with the $1.00 minimum bid price requirement for continued listing on the Nasdaq Capital Market ("Nasdaq") with respect shares of the Company's Class D Common Stock.
The reverse stock split is expected to become effective at 11:59 p.m. on January 22, 2026 (the "Effective Date"). Shares of the Company's Class A and Class D Common Stock are expected to begin trading on a split-adjusted basis on Nasdaq on January 23, 2026. Shares of the Class A Common Stock will continue to trade under the symbol "UONE" and the new CUSIP number will be 91705J 303. Shares of the Class D Common Stock will continue to trade under the symbol "UONEK" and the new CUSIP number will be 91705J 402.
On the Effective Date, every 10 shares of the Company's Class A Common Stock issued and outstanding will be automatically converted into one share of Class A Common Stock, and every 10 shares of the Company's Class D Common Stock issued and outstanding will be automatically converted into one share of Class D Common Stock.
No fractional shares of Class A or Class D Common Stock will be issued in connection with the reverse stock split. Holders of Class A or Class D Common Stock who would otherwise receive a fractional share of Class A or Class D Common Stock pursuant to the reverse stock split will receive cash in lieu of the fractional share equal to the closing sales price of the Class A or Class D Common Stock on the Effective Date.
The reverse stock split will be realized simultaneously and in the same ratio for all classes (Class A, Class B, Class C and Class D) of our common stock. The reverse stock split will affect all holders of our common stock uniformly and will not affect any stockholder's percentage of ownership interest in the Company. Further, the proposed reverse stock split would not affect the Company's underlying business operations, total stockholders' equity, or the proportional ownership interests of existing shareholders, except for adjustments resulting from fractional share treatment. Immediately after the reverse stock split, each stockholder's percentage of ownership interest in the Company and proportional voting power will remain unchanged, except for minor changes that will result from the treatment of fractional shares.
Urban One Inc. (urban1.com), together with its subsidiaries, is the largest diversified media company that primarily targets Black Americans and urban consumers in the United States. The Company owns TV One, LLC (tvone.tv), a television network serving more than thirty-five million households, offering a broad range of original programming, classic series and movies designed to entertain, inform, and inspire a diverse audience of adult Black viewers. As of December 31, 2025, the Company owned and/or operated 74 independently formatted, revenue producing broadcast stations (including 57 FM or AM stations, 15 HD stations, and the 2 low power television stations the Company operates), located in 13 of the most populous African-American markets in the United States. Through its controlling interest in Reach Media, Inc. (blackamericaweb.com), the Company also operates syndicated programming including the Rickey Smiley Morning Show, and the DL Hughley Show. In addition to its radio and television broadcast assets, Urban One owns iOne Digital (ionedigital.com), our wholly owned digital platform serving the African American community through social content, news, information, and entertainment websites, including its Cassius, Bossip, HipHopWired and MadameNoire digital platforms and brands. Through our national multi-media operations, we provide advertisers with a unique and powerful delivery mechanism to the African American and urban audiences.
SOURCE Urban One, Inc.
FAQ**
How does Urban One Inc. UONE plan to utilize the funds generated from the reverse stock split to enhance its media operations and expand its target audience in the Black and urban consumer markets?
What measures is Urban One Inc. UONE taking to ensure that this reverse stock split supports long-term stockholder value and market stability in light of the compliance with Nasdaq's minimum bid price requirement?
In what ways does Urban One Inc. UONE anticipate that the reverse stock split will impact investor sentiment and market perception, particularly among shareholders who approved this decision?
How will Urban One Inc. UONE's reverse stock split affect its financial metrics and performance reporting, especially in terms of earnings per share and market capitalization post-split?
**MWN-AI FAQ is based on asking OpenAI questions about Urban One Inc. (NASDAQ: UONEK).
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