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Re: The_Pro post# 65524

Friday, 06/28/2013 1:58:50 PM

Friday, June 28, 2013 1:58:50 PM

Post# of 146838
After the hypotheical IPO of 3 shares (MDGR) @ the original SKTO price, investors would have 3 times their money. This is an increase of 200%.

Nonsense. It's an effective forward split. Investors will have three times their original shares, and stock price will be divided by three.

That is how it works. Splits--forward or reverse--are neutral. They do not, in themselves, change the value of anyone's holdings.

Do not imagine that this forward split will somehow be "different". It will not be the first split in the history of the markets to alter the value of shareholders' positions.

And what Medical Greens proposes to do will not be an IPO. IPOs are underwritten.
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