REVERSE SPLIT - KNOW THE RULES 5 - THE RATIO Why 8:1?
The company must carefully consider what ratio to apply to its reverse stock split, including reviewing applicable law. Consideration should also be given to exchange listing standards. For example, the NYSE requires at least (a) 400 holders, (b) 1,200 holders and an average monthly trading volume of at least 100,000 shares for the most recent 12-month period, or (c) 600,000 shares held publicly. The ratio 8:1 of the split has been extensively researchd by HEXO ,who has determined that to continue to meet the NYSE listing rules going forward, 8:1 is the preferred ratio.
GLTA