It's how hostile take overs can be formed. It's also perfectly...

It's how hostile take overs can be formed.

It's also perfectly legal and how large holders can trade shares, as once you are a 5% or over, owner of the company you have to issue a substantial holders notice each time you buy or sell shares.


A large holder or group of large holders could build positions in multiple accounts to stay below the 5% substantial holder rules then wham bam thank you ma'am and bring out a substantial holder notice saying they own say 15% of the company.

It's a bit hard to do without a current sub holder letting go of shares and bringing out a sub notice themselves but it is entirely possible with the day to day large volumes with this stock.

Also a new sub holder notice (depending on who it is) could be for them to show their hand and that they are now marking their territory, possibly for a takeover or to block one..