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Re: None

Tuesday, 05/09/2017 1:09:09 PM

Tuesday, May 09, 2017 1:09:09 PM

Post# of 105600
Some folks here do not understand the Reverse Split Completely.

I will try to explain it as best I can.


Lets say you have 1,000,000 (1 Million) shares.

Lets say the current price is $0.0085.

Your investment is worth $8,500. (1,000,000 X .0085)


Lets say the Reverse Split is 1:25.


You will now have 40,000 shares.

These shares will be worth $0.2125. (just over 21¢)

Your investment is worth $8,500. (40,000 X .2125)
-->>Same as before the Reverse Split.<--


Lets say there is some good news shared at the Stockholders Meeting this Thursday.
Lets say that the Market (this is all of us shareholders) decide that this news adds 15% to the value of the company.

If no Reverse Split your share value will go up 15%.
$0.0085 + 15% = $0.009775

Your 1,000,000 (1 Million) shares would now be worth $9775.
(1,000,000 X .009775)
$9775 is 15% more than your original $8,500

If there IS a 1:25 Reverse Split your share value will still go up 15%.
$0.2125 + 15% = $0.244375

Your 40,000 shares would now be worth $9775. (40,000 X .244375)
$9775 is 15% more than your original $8,500
-->>Same as before the Reverse Split.<--

As you can see, in either case you have the same amount money as the value of the company goes up.

I hope this helps anyone who is not sure or does not understand how this works.

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