Bots Inc (BTZI)

[lesgetrich]

I see absolutely no reason for a reverse split right now. What would be the reason for them to do it?

There's no magic number of shares that justifies a reverse split. If they added another 500 million shares and it resulted in $50 million in new revenue, no one would be arguing for a reverse split because they had too many shares even though they would have 1 billion shares OS. On the other hand, an RS under those circumstances might be tempting in order to uplist.

As an example of a company with a high OS, look at Aurora Cannabis (ACB). They have over a billion share OS and are trading at over $8.80/share. While they haven't been producing eye popping earnings, they have a very high book value due to the assets they own. At the other extreme you have a company like TRTC which did a 1 for 15 reverse split a year ago and has lost over 75% of it's value.

There's no magic in a reverse split. Sometimes it can work to shareholders benefit but in OTC land it's often used to hide and reset poor management. TRTC's OS was out of control and approaching 2 billion when they did their RS. Paul has a very conservative management style. It took over 4 years for mCig's OS to double while it's revenues have grown several thousand percent. The usual people on this board were speculating about whether mCig would RS a couple of years ago and Paul said it was never even considered by the management team. I seriously doubt that anything has changed since then.