Jul. 17 at 9:00 PM
$SOS chinese scam .
A reverse/forward stock split is a two-step corporate action:
Reverse Split: The company consolidates shares—for example, 1-for-100—so shareholders with fewer than 100 shares end up with fractional shares.
Cash-Out: Fractional shares are cashed out, effectively removing those shareholders from the registry.
Forward Split: The company then performs a forward split—e.g., 100-for-1—to restore the original share count for remaining shareholders.
đź“Ś Example:
- A shareholder owns 75 shares.
- After a 1-for-100 reverse split, they now hold 0.75 shares.
- The company cashes out the 0.75 shares at market value.
-That shareholder is eliminated from the shareholder base.
