Sure did following R/S announcement! The reverse split will be on a ratio of approximately 25/1 shares (297,038,096/11,900,000 = 24.96). Being that they've r/s immediately and have not waited till they increased the O/S and dump additional shares in to the market is a good sign that they are looking to increase the stock price and enhance shareholder value. 11.9M O/S post r/s is really not much & stock price could go up real quick with a o/s of 11.9m.
Quote:
As of December 4, 2015, there were 297,038,096 shares of Common Stock issued and outstanding. Although the number of authorized shares of common stock will not change as a result of the reverse split, the number of shares of our Common Stock outstanding will be reduced to approximately 11.9 million shares, with some downward adjustment because of the payment by the Company of cash for any fractional shares resulting from the split.
. It should be noted that the liquidity of our Common Stock may be adversely affected by the reverse split, since fewer shares will be outstanding after the reverse split. However, the Board is hopeful that the anticipated higher market bid price will reduce, to some extent, the negative effects on the liquidity and marketability of the Common Stock inherent in some of the policies and practices of institutional investors and brokerage houses described above.
Quote:
The Board also believes that a higher share price for our common stock may help generate investor interest in the Company. The current low price of our Common Stock may mean that it does not appeal to brokerage firms that are reluctant to recommend lower priced securities to their clients. Investors may also be dissuaded from purchasing lower priced stocks because the brokerage commissions, as a percentage of the total transaction, tend to be higher for such stocks. Furthermore, various regulations and policies restrict the ability of stockholders to borrow against or "margin" low-priced stock and declines in the stock price below certain levels may trigger unexpected margin calls. Moreover, the analysts at many brokerage firms do not monitor the trading activity or otherwise provide coverage of lower priced stocks. Finally, we believe that most investment funds are reluctant to invest in lower priced stocks. It should be noted that the liquidity of our Common Stock may be adversely affected by the reverse split, since fewer shares will be outstanding after the reverse split. However, the Board is hopeful that the anticipated higher market bid price will reduce, to some extent, the negative effects on the liquidity and marketability of the Common Stock inherent in some of the policies and practices of institutional investors and brokerage houses described above.