Current Share Structure explained and what A/S, O/S, and float mean.
Most stocks are made up of a share structure in the following way:
A/S - Authorized shares
O/S - Issued and outstanding shares
Float - shares freely trading
AMFE also has a share structure for preferred shares:
A/S 10 Million
O/S 4.5 Million
Preferred shares are in a different class and for the sake of this post, do not need to be discussed in great detail. Preferred shares are NOT part of the float, and thus are not freely trading.
A/S = the total number of shares a company has available to issue into the market to raise capital.
O/S = the total number of shares a company has actually issued into the market.
Float = the total number of shares freely trading in the open market. The float is often times different than the O/S. To calculate the float, take the O/S minus restricted stock.
Restricted stock is stock that has been issued, but can't be sold for a specific period of time.
The float is more important than the O/S at any given moment, because the float is what freely trades on the open market and determines the actual supply.
AMFE's current A/S: 600 Million
OTCMarkets will properly reflect this number any day now, as the attorney has already completed the filing for a 300 Million A/S share reduction with the NY SOS (Secretary of State).
AMFE's current O/S: 473,895,499
AMFE's current float: 266,034,139
The numbers above mean there are currently 207,861,360 restricted shares. O/S minus restricted = float.
There will also be an O/S reduction of 20 million shares. Those shares are likely Ben Castanie's from when Roger Mortimer originally acquired Snakes and Lattes from Ben for 20 million shares. Those 20 million shares will probably be converted to preferred shares using the same ratio as Roger's when he reduced the O/S by 370 million shares back in early March, 2017 and converted
350 million of his personal shares into 4.5 million preferred shares.
What a reduction means in the:
A/S - the company has less shares to issue for capital and acquisitions. Since the company significantly reduced the A/S, it means they are confident moving forward with expansion and acquisitions using only incoming profits. This also means shareholders stock value won't be diluted.
O/S - the company is in essence reducing the supply of freely trading shares. The less shares available to trade usually = higher stock value. Basic economics, law of supply and demand.
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