Frequency Holdings FRQN Files Q1 Report, Planned Reverse Split and Board Transition Supporting Capital Access and Growth

Company reports approximately 72% gross margins and actions intended to position the Company for institutional capital and a disciplined acquisition relaunch.

Frequency Holdings Inc (OTCMKTS:FRQN)

CHICAGO, IL, UNITED STATES, May 22, 2026 /EINPresswire.com/ -- Frequency Holdings Inc. (OTC FRQN) today announced the filing of its Q1 report on OTC Markets, continued operational performance with gross profit of approximately 72%, and the Board of Directors has approved an intended reverse stock split while noting a related board transition as the Company positions for its next phase of growth.

Q1 REPORT FILED

The Company stated that its Q1 quarterly report was filed on-time with gross profit at 72%, with operations remaining active and focused on cybersecurity, AI deployment, digital infrastructure, and recurring revenue generation through its operating platform. The underlying operating business remains intact and gross-profit positive.

REVERSE STOCK SPLIT

Frequency also announced that its Board of Directors has approved an intended reverse stock split of the Company’s common stock, with a ratio range submitted as part of a FINRA corporate action filing. The final ratio will be determined following the FINRA review process and related coordination with the Company’s transfer agent.

The reverse split is intended to reduce the number of outstanding shares while proportionally increasing the trading price of the Company’s common stock, without changing the overall market capitalization of the Company or any shareholder’s percentage ownership interest immediately upon effectiveness of the reverse split.

Management stated that the primary objective of the reverse split is to align the Company’s capital structure with the requirements of certain institutional investors and interested strategic financing groups that are unable to participate at current sub‑penny trading levels under their internal guidelines. The Company believes the action is necessary to improve capital access and support future growth initiatives on a more sustainable and less dilutive basis.

BOARD OF DIRECTORS TRANSITION

The Company also announced that the term of independent director Kingsley Charles has concluded in accordance with the existing board agreement, and he will not be standing for renewal. Frequency thanked Mr. Charles for his service and contributions during his tenure on the Board. Kevin Harrington, David Meltzer, and Rick Jordan remain serving on the board.

WHAT'S HAPPENING NOW

“In earlier conversations I said we would not pursue a reverse split solely for cosmetic reasons. That remains true,” said Rick Jordan, CEO of Frequency Holdings. “This decision is tied directly to capital access, institutional requirements, and the structural realities of trading at sub-penny levels. Without solving the structure first, the type of growth capital we are pursuing simply is not available.”

Jordan continued, “Over the past two years the Company has navigated legacy issues tied to prior transactions that were fully disclosed in our public filings. Those experiences informed the controls, structure, and operating discipline we are building around today. What matters now is where we are. The business is real. The margins are real. The direction is real.”

Subject to completion of the reverse split and related corporate actions, Frequency intends to relaunch its disciplined acquisition and expansion strategy, focusing on opportunities aligned with its cybersecurity, AI, digital infrastructure, and media platform initiatives. Management stated that future acquisition targets are expected to prioritize operational alignment, recurring revenue, and long-term scalability with a focus on transactions that we believe can be accretive to long‑term per‑share value. .

The Company also stated that it continues to evaluate strategic financing opportunities and institutional relationships intended to support operational expansion, platform development, and long-term market positioning.

To contact Frequency:
pr@frequencyhold.com

About Frequency Holdings Inc.

Frequency Holdings Inc. (OTC FRQN) is a technology-focused holding company operating across cybersecurity, artificial intelligence, digital infrastructure, and media. The Company’s model is designed to compound value through strategic acquisitions, operational integration, recurring revenue systems, and audience-driven market reach.

Forward Looking Statements

This press release contains forward-looking statements within the meaning of applicable securities laws. Statements regarding future financings, acquisition activity, reverse stock split implementation, institutional participation, growth strategy, uplisting objectives, and future operations are forward-looking statements and involve risks and uncertainties. Actual results may differ materially from those projected. Frequency Holdings undertakes no obligation to publicly update or revise forward-looking statements except as required by law.

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