A reverse split is an action that can be taken by
Post# of 32992
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Posted On: 10/13/2018 6:06:47 PM
A reverse split is an action that can be taken by any company, with no preset terms. The reasons for an RS can vary greatly, and there is a reduction in shares, but you don't loose any value. Unless the company was only trying to raise the stock price with no revenue or material events to back it up. Then the price usually drops like a stone. Many of us here went through a 150 to 1 a few years ago with another company. Another company I was in for years, and sold it all to buy FUSZ, just recently announced a 40,000 to 1 RS. Good grief Charlie Brown!
Let's say company X has a stock price of $1. They do a 50 for 1 RS. You had 50 shares worth $50 and now you have 1 share worth $50. Now if the Outstanding shares and the Authorized shares both dropped 50 for 1, there's really no issue. The problem comes when its only the outstanding shares that drop and investors are left staring at 50 times the authorized shares to be handed out for capital expenditures.
The reasons nFusz will not need or even consider an RS are plentiful.
Rory has the goods and i feel organic revenues, and revenues created through acquisition are going to put us in the drivers seat.
We're about to find out soon enough.
Long & Strong FUSZ
Let's say company X has a stock price of $1. They do a 50 for 1 RS. You had 50 shares worth $50 and now you have 1 share worth $50. Now if the Outstanding shares and the Authorized shares both dropped 50 for 1, there's really no issue. The problem comes when its only the outstanding shares that drop and investors are left staring at 50 times the authorized shares to be handed out for capital expenditures.
The reasons nFusz will not need or even consider an RS are plentiful.
Rory has the goods and i feel organic revenues, and revenues created through acquisition are going to put us in the drivers seat.
We're about to find out soon enough.
Long & Strong FUSZ
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