Not necessarily. Many companies have seen drastic increases in pps post rs. Most times in the OTC it is bad because it's done merely to reset and further dillute. However, these are usually shell companies who don't even have a product. If the rs is accompanied by debt reduction, revenues, partnerships, etc it would be a postive as it creates a more attractive share structure. The focus needs to be building out Ultraflix, aquiring subscribers and growing revenues. If those things happen pps will follow regardless of how the pie is sliced.
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