Uhh no, they didn't do this to make the luxor deal happen, they did this to make their companies share price actually more closely reflect what the company is really worth. The timing is quite clear since they had the luxor deal done already and were timing the R/S to happen right before they annouce it.
This company actually KNOWS what it's doing and KNOWS what it takes to get their stock out of sub penny land and make it worth something. The only problem this company had was their stock was very diluted. They had way too many O/S. If the company was actually going to buy back shares it would have cost them way to much and wouldn't have been a smart way to do it.
Since the company was already making good money, and since they just bought 2 really good companies with millions a year in sales and millions more in assets, the best, cheapest and fastest way for them to get their stock where it should be was to do a R/S. This is one of the few times where an R/S actually makes sense for a sub penny stock. The company was worth wayyyy more than .0019 from just their assets alone.
They did a great job in taking care of us investors in this too. They did a good R/S, that leaves us all with a good amount of shares while paying us a ex-dividend that gives us even more. They had a great deal lined up to annouce at the time of the R/S, and even better we get the 3rd quater earnings in 2 weeks which will for the first time combind the profits of the company they bought in June with ARTIs. The earnings should be pretty stunning. They already know this. Thats the main reason why they decided to do a R/S now.
Now that the stock has a low amount of O/S, it will be able to easily shoot up to .30 or .50 or even more on good news. And more importanly, it will stay up around those levels too!
You couldnt have scripted a better game plan than what ARTI management has done over the past 48 hours and what they still have in the pipe line. Kudus to them!
AI
