Rennova Health Inc (RNVA)

[T-Hawk]

An R/S does not create new shares but it does transfer outstanding shares from shareholders hands to the company's hands.

Right now, RNVA has 3 billion available shares. Supposedly they have all been issued so it also has 3 billion outstanding shares.

If a 100:1 R/S is done, RNVA will still have 3 billion available shares, but it will only have 30 million outstanding share - leaving 270 million shares available for the company to "resell".

So to Lowtrade's point, the R/S itself doesn't negatively (or positively) impact the shareholders value. But if the company again expands (sells) the number of outstanding shares back to 3 billion after performing the R/S, then shareholder value is reduced.