Rennova Health Inc (RNVA)

[lowtrade]

Doesn't one defeat the purpose of the other?

Yes, what is in the news release is the ability to do one or the other. Nobody would do both.

The thing to remember is startups MUST sell stock to raise cash to grow business!!! if there is little or no room in the authorized to sell stock, the company can't grow.

As for which to choose, a reverse split will maintain shareholder value and increase in authorized will delude value. So I expect if either is initiated, it should be a R/S.

As for;

It does seem explain why all the debt holders converted to preferred shares - not out of confidence in the company, but fear their shares were going to get diluted by over 300%

This is incorrect; institutional investors have already converted their convertible debit to common, not preferred, as seen in the OS from 100's of mil, pre authorized increase, to 3 bil after.

As a result of conversions and exercises of the Company’s securities, as of July 20, 2018 the Company had 2,344,349,384 shares of common stock issued and outstanding.