🔴 XIAO-I is trading 17.97% down in pre-market following $4.33 million convertible-note financing

XIAO-I is trading at $0.66 (-17.97%) in pre-market on August 27, 2026, following its $4.33 million convertible promissory note financing announced August 26.

• The SEC filing says ADSs may be issued upon conversion, creating dilution concerns.
• The planned 1-for-7 reverse ADS split, expected around September 8, and Nasdaq’s market-value deficiency notice add listing and structural uncertainty.
• The decline follows a 38.58% drop on August 26 after the prior session’s sharp rally.