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Reverse Split

A Company can decide to decrease the amount of its outstanding shares while at the same time increasing the nominal share price proportionally.
Example 1: a 1 for 4 reverse stock split
BEFORE THE REVERSE SPLIT:
Amount of outstanding shares: 1,000,000
Nominal value per share: EUR 0.50.
Total nominal value: 1,000,000 x EUR 0.50 = EUR 500,000
AFTER THE REVERSE SPLIT
Amount of outstanding shares: 250,000
Nominal value per share: EUR 2.00
Total nominal value: 250,000 x EUR 2.00 = EUR 500,000
Example 2: What Would you prefer?
1 share's worth after reverse split
OR
10 share's worth before reverse split
Look for Reverse Share Splits below for futher info:
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