Replies to post #7054 on Beneficial Holdings Inc (BFHJ)

[RG]

Read this again. The float will increase by 7 times. The A/S WILL NOT increase by 7 times. That's why it's called a Dividend

BFHJ will issue a six share dividend. For every one share of BFHJ the shareholder possesses, they will receive seven additional shares

[theboosh]

Correct, but your total worth will remain the same and the stock will now have liquidity. It is called a dividend because the stock will not automatically drop to the split price..obviously it will go close to the split price upon open of dividend as there will be selling, but I think they will announce their third aquisition to help with the share price at that time. This is good for the company and the shareholders. Just opinion, but that is what I would do.

[diddi]

That would be true if there were no restricted shares, but with this action the value of the free tradeable shares increases to that of the restricted ones....