What NextSource Materials should consider. Take a look at Largo Resources, they originally had about 1.0 billion shares and did a 10:1 reverse split which resulted in a new float of about 100 Million shares. Now the are back to 518.4 million shares, in production and doing well as the Vanadium price has increase considerably.
Largo had some strong backers to promote their property an get them into production and it worked as Vanadium prices have gone up strongly which together raised their share price ro about Can $1.75.
A number of times I mentioned that NextSource Materials should consider forming a JV with its Institutional Investors.
We have the right minerals in large quantities and are now in a positive time frame for EV's and Power Storage Systems..
As a result, the company should consider dividing its current 468.9 million shares outstanding between two new companies:
The First Company, Nextsource Graphite.
The Second Company, Nexsource Vanadium.
Each will have 234.45 million shares.
If this were accomplished, Shareholders will still have all of their purchased shares, but one half of them will be in each of the above mentioned new companies that will be under NextSource Materials guidence.
Such a 50/50 division will also apply to the Institutional Investor's holdings as they may decide to take a JV interest in either of the new companies at a future date by surrendering their shares to be held in each of the new companies Treasury.
After the date of such change all new shares issued by either of the companies will be -based on their shareholder votes- relative to mergers, JV's or bank loans, and not effect the other company.
In effect all share holders would benefit by having good positions in 2 companies that should move based upon their products, but with less shares and potentially higher prices because each would have have the right mineral in large quantities.
.