dianne,
Just to clarify, I do not know what ACT plans to do. I feel a proxy in some form is imminent as we move towards maxing out the AS#. IMO, if/when they ask for more shares it is a cost efficient way of killing two birds with one stone(proxies are expensive) and ask for a ranged reverse in case that route presents itself.
I can present a few number possibilities to a hypothetical. Using as example a current pps of .20. Depending on which exchange standard we would qualify under the listing pps ranges from $2-$5.
For the sake of example, let's use $4 pps. That would require at minimum of a 1:20 rs..So the range could be for example 1:2 to 1:30 to give ACT options whether the price rises or falls in the period up to listing and rs approval would be valid for so many months..
One more point to consider that will need addressing. When the OS# becomes very close to the AS# and you reduce both by dividing by 20, it doesn't give you any more shares to issue. One possibility is to increase AS# prior to rs so company would have ample amount of shares for future issuance...hope that helps some and didn't confuse. Once again, I don't know if this route is being considered or if they would just increase the AS# again and be comfortable with that for now.
