Newstrike Brands Ltd (fka HIP)

[doogdilinger]

The recent selling pressure is a direct result of the mgmt. circular proposing a reverse split of 2 to 1 up to 10 to 1. Mgmt wants 2/3rd's shareholder approval to consider the consolidation in their sole discretion.

Mgmt also reserves the right to not implement their proposed r/s but that's definitely why all the recent selling has been taking place sub -$1 per share lately.

Also, they want to change their name to Newstrike Brands, approve their stock option plan, appoint new auditors and director election.

I'm fine with their proposed share consolidation because it will give them much more financing flexibility but clearly several others have been selling due to the proposed reverse split.