Harvard Scientific (HVSF)Hot$$- male impotency medicine Message Board

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Biotech / Medical : Harvard Scientific (HVSF)Hot$$- male impotency medicine

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To: Krukov who wrote (2955)	2/2/1998 11:42:00 PM
From: (Bob) Zumbrunnen	Read Replies (3) of 3906

The most common reason I've seen advanced for reverse splits is to get the stock price into listable range. However, it also sends the corollary message "the price would've never gotten there otherwise". What I would watch for here is further dilution. I've seen splits used to bring the outstanding shares down to a more palatable level, only so the company can then issue more shares. That it's a 1:10, rather than a 1:5 is very suspicious, IMO. Just conjecture on my part, but it looks to me like the intent may've been to put the price far enough above the required price for listing, that it could (is expected to) weather a 50% decline and still be listable. It's also been my experience that full listing status is often not the boon it's expected to be. I've seen other BB stocks become listed, amid expectations of resulting skyrocketing prices, only to languish. When a stock becomes listed, it finally becomes shortable. And I'm sure there are plenty like myself who are looking forward to that day....

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