You are getting out of a weak position. Shares closed near 16 cents on June 29, and Nasdaq warned the company twice this year that it no longer complies with listing rules, in January for trading below $1 and again in June because its publicly traded shares are worth less than the $15 million minimum.
K Wave is considering a reverse stock split, which combines shares into fewer, higher-priced shares to increase the trading price. The $250 million it hopes to raise is many times its total market value.
The withdrawal fits a pattern followed by bitcoin miners.
These companies have sold more than 15,000 bitcoins of their peak holdings and signed more than $70 billion in AI computing contracts, seeking more stable margins than mining offerings, and treasury companies are now joining that rotation. And it worked for some of the struggling miners, as their shares recovered from their lows. For example, IREN, a former bitcoin mining company that pivoted to AI, saw its stock rise more than 200% after languishing since 2022.
It is the same shift of money from cryptocurrencies towards AI trading that has weighed on Bitcoin during a losing first half.
So far it has not been proven whether the switch works. The AI ​​infrastructure is capital-intensive and packed with better-funded rivals, and K Wave has to stay on the Nasdaq long enough to spend what it raises.
