Anavex Life Sciences Corp (AVXL)

[imho]

I expect a PR tonight or early tomorrow morning explaining the reverse split. It will say it was done in preparation for up-listing the equity to a stock exchange. Not sure why they should feel compelled to do this; good Phase 2A part A final results in November would get ANVX well past $4 easily. Oh well.

There is only one way to answer your question of why? Clearly it is to reduce the float (up-list would happen in both scenarios). So there are many great stocks that value a small float, including Berkshire Hathaway, Google, etc.

Think of it this way; fewer pieces of the pie (float) and many more hungry customers (NASDAQ-uplist)

Combined with potentially, good news from the science, and this is a good move.

Finally, investors will always look forward to a forward split.

IMHO