GREY:NEVDQ - Post by User
Post by
Arbourmarkon Apr 12, 2021 7:26pm
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Post# 32982450
Impact of Reverse Split on Warrants
Impact of Reverse Split on WarrantsWarrants are proportionately impacted exactly the same as common shares in the case of a reverse split.
Lets say you own 100,000 warrants with a strike price of .22 cents when exercised.
At some point before you exercise the warrants the company announced a reverse split at 10:1
your warrants would now be reduced to 10,000 warrants with and exercise price of $2.20.
I trust that explains how a reverse split works for warrants, it impacts them exactly the same. In either case you would need to pay $22,000 to exercise 100,000 warrants at .22 cents or 10,000 warrants at $2.20