Well first of all I am not here to frighten people, but the facts are that the consolidation will mean that for ever 45 shares you currently hold you will end up with one share.
So if you currently have 200,000 after consolidation you will only have 4445 shares so using your average of .045 then the cost of those 20,000 shares would be $9,000 so for that your share value remains the same the post consolidation sp would need to be $2.02.
However the current sp is .001 so you share value on paper has already been eroded, so using the same 200,000 as a figure then the current value of those shares is only $200
So one needs to make up their own minds on what the post consolidation sp will be once they have control of shareroot.
One still has to remember that they still have their mining interests
New Feature Announcement!
We’re excited to introduce the DealRoom portal, now live on site, providing users with exciting access to private equity opportunities for both pre-IPO and publicly listed companies.
See full details by selecting the new menu item named 'DealRoom' on our main menu bar or click below.
Stay ahead of the market, with HotCopper.