APT MotoVox Group Inc. (MTVX)

[bullethole27]

I disagree and have never understood why people see reverse splits as always being negative.

Take Arcam AB for example. They recently had a reverse split because their shares were trading at about $120. This was keeping some people from investing in them and by performing their reverse split they actually saw an increase in share price which adjusted to about $180 or so. Of course there were other factors involved in their PPS moving but this is a good example of how a reverse split can be useful.

In the case of FROZ there are now approximately 4 Billion shares outstanding. Having this many shares makes it difficult to reach shares prices over a dollar which would allow for an uplisting. This is the most compelling reason for an R/S. The benefits of uplisting should be known to most and it should also be clear that share buyback is not likely as the company would not be listing publicly just to buy back a bunch of shares. If they wanted to do that they could have just remained private and saved money.

A large number of outstanding shares also keeps some folks from investing at all because they prefer companies that have smaller floats or avoid ones with a large number of authorized shares. A reverse split and reduction in authorized shares would eliminate some of the common reasons that people avoid investing in other OTC stocks.