The Only 1 Reason for a Reverse-Split ,,,
of a 'stock' that pumps once & then dumps 99% within 1 year ,
causing ONLY common 'share'holders to LOSE ~$30,000,000 ,
to ONLY pay-off old + new friends + family of its CEO ,
while diluting ONLY the common 'shares' , by 10x [=1,000%] ,
and simultaneously reducing their votes + ownership from 100%
to 20% , to 9.8% , to 4.8% , to 2% [and still sinking fast] ,
after the CEO first 'votes' himself a Never-Dilutable 80% ,
which can be increased to 99+% , anytime he 'votes' again ,
all by himself , without warning anybody ,
and takes a $250k salary, as reported in an SEC Filing,
and tells [maybe] an over-paid IR guy, to send an
UNverifiable eMail to the pumpiest swvc fan , who says its
just an old 'loan pay-back' , from a near-BK junk-store,
that he used to personally own, until he 'voted' to make
Only swvc common 'share'holders way-over-pay to assume All
of its debts + rents , while he closed them all down , ASAP,
IS, AND ONLY IS :
that the always-money-losing 'company' ,
that is always about to run out of cash ,
which it always needs ASAP ,
to delay the BK of its Broke-n-Mortars ,
which must pay rent + utilities + employees ON TIME ,
and the only/best way to get more cash , without contributing
ANY of his own personal cash, is to keep diluting ONLY the
common 'share'holders , by printing Super-Toxic+Floorless
convertibles, that can Only keep flooding into the float ,
while the trading 'price' of the common 'shares' stays
barely above $0.0001 .
BECAUSE, EVEN PINKYS CAN'T TRADE AND/OR DILUTE BELOW $0.0001 ,
OR HELP swvc PAY-BACK ANY OVER-DUE LOANS TO CONVERTERS.
ALSO, increasing the 'Authorized Shares' WON'T WORK ,
because it will only make the common 'share' price
drop below $0.0001 even faster. So, it's just a
Total Waste of more time + cash.
THUS, A swvc REVERSE-SPLIT IS THE 1 + ONLY WAY ,
FOR swvc TO DELAY BK. And, it Will Happen, ANY DAY.
If not, swvc will cease to be able to 'trade' [= dump
increasing quantities of converting common 'shares'],
and run out of cash, and go BK; and annoy the guys who
can't ever convert, and get their principle + profit back.
And, most of them Never just go-away sad, when they know
exactly who caused the problem, and Will pay them back, Now,
in Personal Cash, in the shed, behind the limo garage, which
is behind the house, that just over-heated.
So, the Reverse-Split is the ONLY WAY for swvc to solve this
Personal Problem, Fast Enough. And, it eliminates any need
to waste any time + cash on a 'vote' to increase Authorized
common swvc 'shares'. And, it reduces the risk of overheating
of an insured rural mansion, due to global worming. Which is
sometimes initiated by a heated we-mean-business talking-to
in the shed, behind the garage, containing the overheated,
but insured, limos + benzes.
So, that's it. Plain + simple. In a nut-shell.
That will overheat + explode , blowing Toxies
into the BK seaway , and execs into the shed.
Well, let's get on with the Reversi Show.
It's a Win-Win for everyone. Including the big longs,
who could just keep averaging-down, a little longer.
Our bet is that the Reverse-Split will have to be
at least 1-for-1,000 ; Because 90+% of the converters
are still ready + waiting, not-quite-patiently.
Here's the math, using only A 1-for-1,000 Reverse-Split,
for simplicity :
The Reversi temporarily raises the trading price of swvc
commonly reversed new-'shares' by 1,000x , to ~$0.20 ,
[for a new all-time-high for swvc, which sounds good].
And, 'only' a new float of ~2+ Million [even better].
Then, the next-in-line 10% of the converters get to re-start.
That doubles the new float, just like the luckiest first 10%.
So, the trading price of new-swvc drops to ~$0.10 [or maybe
much lower, like last month; but, for simplicity, let's just
pretend that dilution-theory is obeyed]. Then, only 80%
remain to convert [assuming the CEO quits printing any more].
Then, the next 10% converters get to go, and swvc drops to
~$0.05 , leaving only 70% waiting to convert.
Then, down to ~$0.0250 , with only 60% still waiting.
Then, down to ~$0.0125 , with only 50% still waiting.
Then, down to ~$0.0064 , with only 40% still waiting.
Then, down to ~$0.0032 , with only 30% still waiting.
Then, down to ~$0.0016 , with only 20% still waiting.
Then, down to ~$0.0008 , with only 10% still waiting.
Then, down to ~$0.0004 , with only 00% still waiting.
All done, finally. Hope that didn't take too long.
Anyway, we're right back at $0.004 , exactly where
we started. And, ready for the next 1,000x Reversi,
just in time, if necessary [unless swvc is BK].
So, swvc better at-least do a 1-for-1,000 Reversi, ASAP.
1 Big Reason + No Other Option to delay CEO overheating.
Note ; The above math also assumes that swvc can dig up
enough cash to delay BK, while the converters dump out.
That may Not be a reasonable assumption. If it's not,
it could get hot, by Christmas, in the far North.
extra, Sincerely. But just more short opinions.
By the way, when any stock reverse-splits, it Must pick
a new symbol [which is Not required for forward-splits,
or stock dividends (under 100%)]. Maybe the CEO will let
the common longs 'vote' for the new symbol, just for fun.
P.S. ; There is only 1 reason 'why penny stock, scam artist
CEO's do reverse splits' when their common 'shares' sink
to $0.0001 , and they need to keep diluting, to keep getting
more cash, to pay their salaries + cover 'business' losses ,
Forever. This a road well-traveled, by all desperate CEO's,
who are afraid that their pretend Wall Street game, is
about to be scorched, and there is no other American fix.
AI
