Zeta Network Group

Zeta Network Group announced it has entered into a securities purchase agreement with certain investors for a private placement offering. The company plans to raise approximately US$10 million through the sale of Units, each comprising one Class A ordinary share and one warrant, at an offering price of US$2.93 per Unit. The warrants will be immediately exercisable at US$4.40 per share and will expire on the fifth anniversary of issuance. The gross proceeds will be paid in Solv-BTC.

Zeta Network Group (ZNB) reported its unaudited interim consolidated financial statements for the six months ended December 31, 2025. The company generated $16.9 million in revenue, primarily from cryptocurrency mining, but incurred a significant net loss of $97.11 million. This contrasts with a net loss of $22.82 million in the prior year period. The company experienced a substantial increase in total assets to $195.62 million, largely due to cryptocurrency holdings, and a corresponding increase in shareholders' equity to $179.63 million, reflecting capital raises. However, the company also recorded a significant impairment loss on cryptocurrency and faces substantial doubt regarding its ability to continue as a going concern.

Zeta Network Group, a Foreign Private Issuer, submitted a letter from its Cayman Islands legal counsel to Nasdaq. The letter certifies that the company's practice of following Cayman Islands law and its amended memorandum and articles of association is not prohibited by home country law. This allows the company to utilize the Nasdaq Marketplace Rule 5615(a)(3)(A) exemption, following home country practice in lieu of certain Nasdaq corporate governance requirements.

Zeta Network Group shareholders approved a comprehensive capital restructuring plan at an extraordinary general meeting. This includes a reduction in the par value of shares from US$0.25 to US$0.0025, a subsequent increase in authorized share capital from US$320,000 to US$32,000,000, and amendments to the company's memorandum and articles of association. Additionally, shareholders approved a share consolidation proposal with a ratio between 2-for-1 and 4,000-for-1, with the Board authorized to determine the exact ratio and implementation within three years.