Sun Pacific Holding Corp (SNPW)

[drugmanrx]

The market cap is the same on the day it happens but what happens after that is what can kill an investor.

I don't see how 100-1 or 1000-1 makes any difference, as they are still both reverse splits and the market cap will be the same either way. It really makes no difference one is not worse or better than the other, even 5000-1 no difference.

For the sake of this discussion we will say you own 100,000 shares at a penny

at 1000 to 1 you would own 100 shares at 10 dollars a share the company will have 1 million OS with an AS of 999,000,000 to sell to raise cash. To make a dime on your original investment the stock would have to go to 100 dollars a share to make a dollar the stock would have to go to 1000 dollars a share

at 10 to 1 you would own 1000 shares at 1 dollars a share the company would have 10 million OS with an AS of 990,000.000 to sell to raise cash. To make a dime on your original investment the stock price would have to go to 10 dollars a share, to make a dollar the stock would have to go to 100 dollars.

If all things remained equal but they don't it called dilution, because the reason for the RS is so the company can raise money to raise money the company has to sell shares usually in private placement t high discounts to the market plus the company still has convertible debt to deal with plus warrants which may be non dilutable (meaning will not be reduced by RS). Currently SNPW is 116,837,697 shares over its AS per 10k page 18.

So yes you are correct the market cap will initially remain the same but the investor has 10x more to lose at 1000 to 1 then they do from10 to 1 RS with certain dilution.