Ann: Apex Capital Raising , page-36

jonesw you a correct - its more to do with the correlation, although i do think consolidation does make it an easier and more rapid process.

Scenario 1 - Company is in strife and alot of holders want out

0.3 to 0.2 is a 33% drop

0.30 to 0.295 is 1.67% drop

Alot of people wont sell for that 33% fall as its too large but there will be alot more people who are willing to starting hitting orders at 0.295 and say oh its only really a 1.67% loss. Once that sort of mentality starts it just snowballs and you end up with a long and slow rot away of the share price