I definately think they were denied for a reason and whether they will be able to split again is in question. I listened to a conference last year where the SEC, FINRA, the DTCC and other Retail Brokers met to discuss problems (such as pump and dump schemes, market manipulation, toxic financing, etc.) in microcap trading. The DTCC has come down hard on several penny stocks recently and IMO I think we will start to see some regulation. I think FINRA was responding to the abuse of reverse splits caused by their toxic financing deals. I do believe FINRA is trying to protect shareholders.
IMO I don't think we will see a reverse split by April 16th according to the recent amendment or even this year for that matter. I think the reason for the amendments is because they are in talks with potential partners and are waiting to close a deal rather than rework all of the existing notes just to change them again when they sign a partnership agreement. If a partnership agreement is not in place by April 16th then I think they will just file another amendment with a new deadline until an agreement is worked out with a new partner. This is just my opinion so take it for what it is worth.
Banker
