RE:Re re consolidationI have said it before, I will say it again. Consolidation is a sign of management failure. Yes there are times when consolidation provides for an increased price. However this is often in the short-term. The long-term usually results in the share price heading back to pre-considation pricing.
If management wants consolidation to feed their ego, then it is definately the wrong reason. You don't have to hear it from me. . . hear it from Investopedia
Market Impact of Reverse Stock Splits
Generally, a reverse stock split is not perceived positively by market participants. It indicates that the stock price has gone to the bottom and the company management is attempting to inflate the prices artificially without any real business proposition.
Additionally, the liquidity may also take a toll with the number of shares getting reduced in the open market which is not a positive sign for any listed company.