Market Data 
Markets
Replies to post #65258 on SK3 Group Inc. (SKTO)
if this was a ”normal” or ”regular” 3-1 forward split… we would be getting ”3” shares of ”SKTO” for every ”1” share of ”SKTO” that we purchase.
Instead… we are getting ”3” shares of ” Medical Greens” for every ”1” share of ”SKTO” that we purchase as indicated within the news below:
That is a distinction without a difference. Sheesh. It's a REVERSE MERGER. Whose stock would you EXPECT to get.
And to cut to the chase, there will not be a short squeeze, just as there are never short squeezes in connection with these kinds of corporate actions. SKTO has never been on the Reg SHO list, and short interest is negligible.
there just might be a chance that although we will see a ”share adjustment” in our SKTO positions by an increase of shares ”3-times” the amount we own, we ”might not” see a ”price adjustment” of a decrease by ”3-times” the amount post forward split as what we would usually see...
WHAT??? Of course you will. That is how it works.
I think that this will be kind of like an ”Initial Public Offering (IPO)” where if SKTO could show justification in revenues or contracts to justify a value where such ”zero sum” transaction is not required, then the SEC just might allow the closing price of SKTO on the date that the forward split takes place to either remain the same or even be allowed to open up higher and not have the price of SKTO reduced 3-fold.
Are you SERIOUS?? The transaction contemplated is nothing like an IPO. It's a REVERSE MERGER, and it will work like every other reverse merger penny stocks do. By the way, the SEC does not like reverse mergers, generally speaking.
And by what conceivable market mechanism could that happen?
Sure. If the company becomes successful and starts bringing in money, then the stock price will go up. That's not exactly news. But as for the rest, I am as usual shaking my head.
06/27/13 4:32 PM
06/28/13 9:49 AM
AI
