Norma Chu, CEO of Asian consumer food company DayDayCook (DDC), has moved to reassure investors following what she described as a week of “unprecedented volatility in global markets”.
On Friday (4 April), the NYSE-American halted trading of DDC shares, which were trading below $0.10 per share “amid a broad market sell-off”.
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In a letter to shareholders yesterday, Chu said: “While such market movements are disconcerting, I want to assure you that your board and leadership team acted decisively to safeguard shareholder value.”
To strengthen market positioning, the company’s board “unanimously” approved a 1:25 reverse stock split on Friday.
The decision, previously ratified by shareholders, is “designed to elevate our share price to a more acceptable trading range”, Chu added.
The 1:25 reverse split will reduce Class A Ordinary Shares from 79 million to 3.2 million, raising par value to $0.40.
Trading is expected to resume on 21 April under the symbol DDC with a new CUSIP.
The news comes as US President Donald Trump raised the tariff charged to China by the US to 125% and authorised a 90-day pause on his plans for tariffs for more than 75 nations.
In a post on Truth Social, Trump said: “Based on the lack of respect that China has shown to the world’s markets, I am hereby raising the tariff charged to China by the United States of America to 125%, effective immediately.”
A 10% baseline tariff for all US imports, which came into effect over the weekend, will remain.
The additional tariffs were due to be effective for a long list of countries including China, the UK, Japan and EU, from yesterday.
Addressing the “noise” created by tariffs and geopolitical tensions, Chu said “DDC is well-insulated from these risks”.
The chief highlighted that, in 2024, 80% of Hong Kong-based DDC’s revenue was generated from China’s domestic market, where it produces and sells locally.
DDC’s “growing” export business focuses on Southeast Asia, protecting it from US tariff-related disruptions, she explained.
DDC, which listed on the NYSE in 2023, offers a range of ready-to-cook, ready-to-heat, and ready-to-eat (RTE) products through brands such as Nona Lim, Yai’s Thai, Omsom, MengWei, and Yujia Weng.
Additionally, a joint venture in China, with a committed net profit of 110.25m yuan ($15m) over five years, is expected to boost growth.
Earlier this month, DayDayCook announced a venture with China-based ready-meals producer Hewen Agricultural Technology to scale RTE solutions for e-commerce, restaurant, and DTC channels in China.
While the US contributed 20% of DDC’s revenue last year, the company expects this segment to remain a “smaller, stable contributor”.
DDC also plans to pursue growth opportunities in Asian markets, maintaining a separate US domestic supply chain.
Looking ahead, Chu described 2025 as a “transformational year” for the business, citing key developments such as the company’s return to full SEC and NYSE compliance, her increased personal stake in the business, and a move to diversify corporate reserves through cryptocurrency investment.
“We plan to complete the initial Bitcoin injection in the next 30 days and moving forward we have a commitment for additional injections of Bitcoin at even more favourable share prices as we grow,” she said.
“Market fluctuations often obscure fundamentals. Today, DDC is stronger operationally, financially, and strategically than at any point in our history. Our China-centric model, fortified by strong local demand and regional exports, offers stability and growth in uncertain times. While I cannot dictate market sentiment, I urge you to focus on our execution: we are controlling what we can, with urgency and precision.”
