Replies to post #28109 on Plandai Biotechnology Inc (PLPL)

[bri123]

I absolutely agree. I have been in one OTC that did name / ticker change and RS at the same time, and it worked out fine, I made money and got out about two months after the name change with a profit. There was an initial "sugar-rush" from the event, and the price went up ~500%, and then it started to slowly come down and settle at some value, but it was still worth more than before the split and ticker change.

If they just do name / ticker change, and leave the SS as is, we could see a (possibly) higher percentage change, but it won't last long with this SS and would come right back down to where it is now (eventually). And everyone would still be afraid of a random RS at some point.

The worst possible thing they could do is a RS now, and then a name / ticker change later. That would just hurt all the existing shareholders.

And yes, they MUST reverse the AS as well. I was in a company that only did the OS, and it crashed the price down because it was obvious they intended to dilute. Eventually that company did reduce the AS, but it was too late by then.

[marylandstockguy]

Your shares wouldn’t lose any value it would be exactly the same value just less shares. It’s more psychological. Everything changes though as we both point out, if the AS remains the same and they start dumping those shares into the OS. Then you have a bloated OS all over again and the stock tanks. If they reduced the AS to the same degree then it won’t happen. But just imagine a 1:1000 RS like you’re suggesting, but the AS remaining at 10 bil. It could be dead before it even gets a chance.

Its not up to us though. It’ll be interesting to see how it plays out.

[AKATITUS]

Your assuming this company is only going public to dilute and try to raise money. Asti did it,s RS 10,000 to 1 had a 5 million OS only diluted 5 million shares since. Came out at 20 dollars if I rember correctly and now is .45 cents year or so later. RS are only good if you have goals and a future share holders belive in. Otherwise they get crushed back down to a level of dilution turns that company into a scam. I had high hopes for asti but it still looks like they are years away. Who knows what they have. This all goes into the last 2 dead deal that did not happen. All I can say is lots of eye balls are here and waiting to see.

[zombywolf]

Actually an R/S would most likely be 1:100. Brings the share count down into the 77 million range. Which would be fine for them. But they will be announcing some share reduction, it has already started. But the R/S is a while off, so constantly posting about it is lame. If you don't like the new company, leave for another.