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jesseakc

02/22/15 1:32 PM

#201640 RE: Miamifl #201637

The number of your shares will automatically decrees and historically the monitory value of your remaining shares will significantly decrease. Say you have 100,000 shares worth .01 now after a reverse split you could own 1000 shares worth... maybe .10 or .20 each because historically reverse splits happen to fix a problem and investers will get out which will kill the PPS.

On the upside, they will be able to take out more convertible debenture loans!

They have already done this twice so people are still making money, and a LOT of it. Just not the share holders. The share holders would lose in this situation.

Just my opinion and examples might be way off base. I can't predict what will happen with PPS just as much as I can't predict that revs will be so far off from projected. .. just sayin

TStarr

02/22/15 6:59 PM

#201680 RE: Miamifl #201637

There are no pros unless your management and can just issue yourself new shares. It destroys faith and shareholder value. The better question is what do you think about the company issuing 100,000,000 shares at a cost basis of .0005 to private investors in december of 2014?

This allowed those guys to make literally 2000% overnight as they sold into the companies loyal bagholders.