FiscalNote Considers Reverse Stock Split Amid Share Price Decline

Introduction

FiscalNote Holdings Inc (NYSE: NOTE) is a publicly traded software, data, and media company headquartered in Washington, D.C. The company utilizes artificial intelligence, machine learning, and comprehensive policy data to deliver legislative and regulatory intelligence. Founded in 2013 by Timothy Hwang, Gerald Yao, and Jonathan Chen, FiscalNote serves a diverse range of clients, including various corporations and government entities. As of July 29, 2025, the stock closed at $0.6007 per share, reflecting a 23.89% decline in the latest trading session, with a volume of 2,258,660 shares.

Corporate Structure and Workforce

FiscalNote operates from global offices in North America, Europe, Asia, and Australia. According to LinkedIn data, the company employs between 201 and 500 professionals across roles in technology, policy analysis, product development, and customer support. The leadership team consists of individuals with expertise in government relations, data science, and software engineering, complemented by advisors experienced in public sector engagement and growth strategies.

AI legislation by Miko Guziuk

Developments and News

On June 6, 2025, FiscalNote filed a prospectus under Rule 424(b)(3) registering the resale of up to 12,511,050 shares of Class A common stock, which includes 9,615,000 shares issuable upon conversion of outstanding notes with a principal amount of $5.769 million. The company will not receive any proceeds from these resales. On June 11, 2025, a Form 8-K current report was submitted, detailing items of the Securities Exchange Act that cover financial commitments and corporate governance matters.

On July 29, 2025, FiscalNote announced by written consent that certain stockholders representing approximately 25.1% of Class A common stock and 100% of Class B common stock authorized the board to consider a reverse stock split in a ratio ranging from 1-for-2 to 1-for-15. This authorization is valid until October 10, 2025, and the board retains discretion over implementation.

On the product front, FiscalNote’s CEO and President, Josh Resnik, announced the launch of AI-powered legislative drafting within the PolicyNote platform. This enhancement aims to streamline the creation and formatting of legislative text, allowing policy professionals to concentrate on strategic and stakeholder engagement activities.

Financial and Strategic Analysis

Since June 3, 2025, when the Class A common stock closed at $0.64, the share price declined to $0.6007 by July 29, 2025. The proposed reverse stock split is intended to consolidate the share structure and potentially improve market liquidity, although it may introduce risks of volatility and dilution. The June 2025 prospectus indicates a reliance on current stockholders for share liquidity rather than new capital, with a significant portion of voting power concentrated among notable equity interests.

Strategically, FiscalNote continues to invest in its AI and data platforms, including the expansion of ESG Solutions—introduced in July 2022—to meet the increasing demand for environmental, social, and governance analytics. The company’s acquisitions of CQ Roll Call in 2018 and VoterVoice in 2017 have strengthened its capabilities in media and advocacy services.

Market Position and Industry Context

FiscalNote operates in a specialized segment that merges government relations, legal analytics, and data science. Its AI-driven tools are designed to address the complexities of legislative and regulatory environments, competing with traditional publishers and technology vendors. The company's client base includes government agencies, corporations, and trade associations, benefitting from long-term contracts and subscription models. Current industry trends toward automation, policy monitoring, and ESG compliance highlight the relevance of FiscalNote's services in a landscape where regulatory risk management is increasingly prioritized.

tl;dr

On July 29, 2025, key stockholders authorized the board to consider a reverse stock split (1-for-2 to 1-for-15) through October 10, 2025. In June 2025, FiscalNote registered up to 12.5 million Class A shares for resale by existing shareholders, with no proceeds to the company. The share price decreased from $0.64 on June 3 to $0.6007 on July 29, 2025. The PolicyNote platform has introduced AI-powered legislative drafting to enhance policy workflows. The board’s decision regarding the split and ongoing platform developments will influence liquidity and strategic positioning for the remainder of 2025.