The only reason to have a reduction in shares other than via buyback would be pursuant to an uplisting to raise pps high enough to meet the higher board listing standards (2-3 dollars pps for Nasdaq, 10 cents for OTCQX, no minimum for OTCQB)

or to get pps above 1 cent-which, besides financials, is what brokers most often give me as reason for broker restrictions-they want a pps above 1c