That is an important difference. This a merger and not a reverse merger. Also, a reverse split is not something bad for a private company like LAHO. They are not trading. Once the merger happens (possible), a lot of changes in LAHO's business structure would occur. Actually, share structure will have to change, with a fresh start trading publicly again. The merger will see to that. imho
Sorry, if LAHO trades publicaly again, the AS will shrink because the company will have to sell shares to operate and expand their shareholder base.
I do not provide investment advice. This post is my personal opinion.