Titan Medical Inc (TMDIF)

[Geo2014]

A split and dilution are mutually exclusive of one another. They are different means to different ends. The value of your investment doesn't change with a split - you own the same % of the company. The value does change with dilution - it goes down, because your % of ownership goes down. Through a raise (dilution) they can get the cash they need by offering additional shares and in many cases, warrants attached to the shares. With a split - nothing changes but the OS count and the price per share. A split is not the same tool as a dilutive raise. But, like you said, a split might allow small-time investors an entry-point since the share price is lower. That's one of the main reasons they're done.