CLST Holdings Inc (CLHI)

[Renegades17]

That's what an advisor probably suggested



As I've previously explained (and others have as well), targeting an ownership % through a RS was the worst possible decision. It would have been much better to increase the AS and issue shares to TDS to achieve the targeted ownership % (ignoring what the right split would be). This is particularly true given the multitude of comps that have done well with much larger share counts and after having abandoned reverse splits.

I think the problem is they got the list of requirements to uplist and an advisor told them that a reverse split was the way to get the share price to the required level. That logic is completely wrong. They should focus on the market cap and the best way to increase it organically. It's quite likely, as most of us know, that the stock would have organically risen to well above the minimum threshold. If it didn't and they had to uplist, determine a ratio closer to that event and get it done.