CLST Holdings Inc (CLHI)

[Renegades17]

Not always true



The board of directors typically only recommends the reverse split, it's a majority of shareholder votes that customarily has to approve it. That said, it's dependent on state law and I'm not sure what Delaware would require in this case.

Anyways, we don't have an option to stop it given Stephenson had control.


From the SEC website:
Although the SEC has authority over a broad range of corporate activity, state corporate law and a company’s articles of incorporation and by-laws generally govern the company’s ability to declare a reverse stock split and whether shareholder approval is required.