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Sunday, 09/11/2016 8:02:34 PM

Sunday, September 11, 2016 8:02:34 PM

Post# of 9613
Zonx - my opinion is that the Def 14c filed on July 21,2016 by Zonx is primary with all else being secondary relating to investors and potential investors in Zonx common stock. Who cares how many homes they might be in, what revenue they generate, how great their content is etc. If they dilute current shareholders, while not diluting unissued/company shares, dilution will be paramount. This explains to me why we are seeing little volume - who is going to buy current shares knowing this pink elephant of a reverse split to issued shares but not unissued shares lurks in the background. And the board of directors believes this is in the best interest of shareholders - wow, really?????? So all the talk about the great things the company is doing goes out the window for me - it simply doesn't matter. Who in the world is going to jump in and buy here - why would they? And why would the company issue the 14c giving the board months and months to make a decision - didn't they factor in the impact in the meantime. So anyways, these are my thoughts.


"On July 5, 2016, our Board of Directors and majority shareholders, believing it to be in the best interests of the Company and its shareholders, approved authorizing the board of directors of the Company, in their discretion, to amend the articles of incorporation of the Company (the "Amendment") to effect a reverse stock split (the “Reverse Split Proposal”) of the Company's issued and outstanding common stock (the “Common Stock”) between a range of not less than one-thousand for one (1,000:1) and not more than twenty-five thousand for one (25,000:1), or if at all, at any time prior to March 31, 2017."


"There are certain risks associated with a reverse stock split, and we cannot accurately predict or assure the reverse stock split will produce or maintain the desired results (for more information on the risks see the section below entitled “Certain Risks Associated with a Reverse Stock Split”). However, our Board believes that the benefits to the Company and our shareholders outweigh the risks and recommends that you vote in favor of granting the Board the discretionary authority to affect a reverse stock split."



"Increase in the Number of Shares of Common Stock Available for Future Issuance - By reducing the number of shares outstanding without reducing the number of shares of available but unissued Common Stock, a reverse stock split will increase the number of authorized but unissued shares."