ABVC BioPharma to Spin Off BioKey Subsidiary via Dividend Distribution to Shareholders

ABVC BioPharma, Inc. (NASDAQ: ABVC) announced on June 23, 2026, its planned spin-off of wholly owned subsidiary BioKey (Cayman), Inc. through a pro rata dividend distribution of BioKey shares to ABVC shareholders. The move is designed to unlock the underlying value of ABVC’s businesses and offer shareholders direct exposure to BioKey’s growth prospects.

Subject to administrative and regulatory steps, including the effectiveness of a Registration Statement on Form 10 by June 25, 2026, ABVC intends to distribute approximately 4.5 million ordinary shares of BioKey, representing about 15% of BioKey’s outstanding shares, to ABVC shareholders of record as of July 24, 2026. The distribution is expected to be effective on August 3, 2026. Shareholders are not required to take any action, and the distribution will be made in book-entry form through VStock Transfer, LLC.

BioKey is a nutraceutical and functional-supplement research, development, and manufacturing company operating as a fully integrated Contract Research Organization (CRO) and Contract Development and Manufacturing Organization (CDMO). Through its California subsidiary, BioKey, Inc., the company offers services including contract research, formulation development, cGMP manufacturing, regulatory support, and commercial supply. BioKey also plans to integrate artificial intelligence technology into its services in the future.

Following the distribution, BioKey intends to apply for quotation of its ordinary shares on the OTC Markets, though there is no guarantee that an active trading market will develop. Until then, holders will not be able to sell or transfer their shares publicly. ABVC common stock will continue trading on Nasdaq under the symbol ‘ABVC.’

Dr. Uttam Patil, ABVC’s CEO, stated, ‘We believe the BioKey transaction provides an opportunity to highlight the underlying value of our businesses while maintaining our commitment to long-term shareholder value creation.’ He emphasized the company’s focus on executing its growth strategy and exploring additional opportunities that may benefit shareholders.

The spin-off represents a key milestone in ABVC’s strategy to unlock value from its subsidiaries, technology platforms, and strategic investments. Management believes the distribution rewards existing shareholders with direct participation in BioKey’s future growth and demonstrates ABVC’s broader commitment to creating shareholder value through development, commercialization, and potential separation of subsidiary businesses.

ABVC BioPharma is a clinical-stage biopharmaceutical company with a pipeline of six drugs and one medical device (ABV-1701/Vitargus®) under development. The company utilizes in-licensed technology from research institutions including Stanford University, University of California at San Francisco, and Cedars-Sinai Medical Center. BioKey holds four FDA-approved Abbreviated New Drug Applications (ANDAs) and operates a cGMP-certified facility in Fremont, California.

Additional details regarding the distribution mechanics and fractional share treatment are available in the Information Statement accompanying the Form 10 filed with the U.S. Securities and Exchange Commission (SEC) on June 22, 2026. Investors can access these documents free of charge on the SEC’s website at http://www.sec.gov.

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