RE: Sticky hands!22 Feb 2022 15:18
Good afternoon Seawolf.
My reasoning is,
for the very same reason investors will come on board when the share is in the pound region plus, so will companies likely to partnership. It looks more attractive. We require due diligence in whom we deal with and so they will do due diligence with us. We operate as a penny share at the moment and that is all we are perceived as I feel.
Shares can be looked at in the same context as a strong currency. The dollar is strong. A high SP creates an impression of strength.
As an example see excerpt regards inflation and deutchmark.
A loaf of bread in Berlin that cost around 160 Marks at the end of 1922 cost 200,000,000,000 Marks by late 1923.
Absolutely no control just mass producing of notes of a higher denomination.
By November 1923, one US dollar was worth 4,210,500,000,000 German marks.
Simalarly but not to be taken as the absolute same is we have circa 3,450,000,000 shares in issue
at the present 4p.
When we reduce 50 to 1 we will have 69,000,000 shares approx at approx 200p per share.
Which looks better? Surely this will ensure SP stability.
Low SP with billions of shares will be looked upon by investors and those with similar opinions as low value currencies with high inflations. A degree of control will look to be seen as a result of consolidation, thus removing the current volatility we have, which investors not like.
In a sense this can be seen as one aspect of marketing.
This is in my opinion of course, we are now far more than a penny share company, hence need to reinforce this by having an SP far greater than it has at the moment. To be seen and perceived by investors, potential partners and potential/future licencees.
Regards and my tuppence worth.