Karora Resources Inc KRRGF

Reverse Split

[MaterialsMan]

Did some back of the envelope calculations this A.M.
When all is said and done, assuming no major variations in the stock price of WGX, I come up with about one and half to two billion shares outstanding of the new issue.
I'd guess the value CN would be between $1.50 and $2.00 per share.
It's typical in Australia to have huge numbers of shares outstanding at a low price per share.
To be more attractive to North American retail and instituional investors, I feel that a one for ten would make both the number of shares and the stock price a lot more attractive.
I don't know if a vote is required for this to potentially happen, but I think it should.
And, IMO it should happen when the trading has stopped while the arrangement is consummated.
That way, the stock comes out of the shute at 10 to 15 dollars a share with maybe 150 million shares out.
Anybody agree?

[Odinson]

Well, I don't disagree that the share count is pretty darn high but I'm wary of "reverse splits" or as some say "consolidations" .... Too many times, after a consolidation we see share price fall. Maybe they should let it run for a year and let things settle down a bit before making more big moves.

[Rainman01]

There would be absolutely no reason to even think of a reverse split. It didn't help KRR shareholders last time why do it again . There will be 930 million shares I believe and that is how they roll in Australia. If you want to reduce share count use your buy backs not put pressure on shareholders or our stock. All the reverse split did before was help the shorts and drive good investors out