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To: Jppooky2 who wrote (616)	2/8/2008 9:43:55 AM
From: smars4444	Read Replies (2) \| Respond to of 1811

I think they can pull it off...Opens the door to bigger investors, institutions, mutual funds etc. I think a year from now they'll be listed on the nasdaq.

To: Jppooky2 who wrote (616)	2/8/2008 11:07:47 AM
From: caly	Read Replies (1) \| Respond to of 1811

Long post warning Reverse splits are often effective to gain a listing (e.g. to get over a $1.00 to gain a NASDAQ listing) if the company has solid fundamentals and good support behind it. I've seen this work quite a few times. Sometimes the goal is to get the stock over $5.00 which is a threshold below which some funds can't buy or hold it. A reverse to maintain a listing by a company on shakey ground is often a recipe for disaster. I've not seen any development stage micros pull that off. Obviously TDON is looking at the former, but I don't see that the fundamentals are there right now to support it. The companies I've seen do this successfully have all been profitable or at least showed continuing revenue growth. TDON would be relying on potential alone which may or may not be enough. If the stock is strong hands both inside and outside, it could work. The other issue the number of shares in the float after a rerverse. If a small float makes the stock too illiquid, it can scare people (especially institutions) away. They'd have to have a plan to increase the shares OS and subsequently the float to make it more liquid. I worked for a company that went through all this, and they pulled it off very successfully thanks to strong institutional support and very sound advice coming from the financial community. We did a 1 for 10 that took the stock from something like .90 to 9.00 and a NASDAQ listing. From there, and I don't know the details of this, but there were very deliberate steps taken to increase the shares OS (via offerings and stock-based acquisitions) and then controlled selling of those shares into the float. The insiders with major positions also did controlled selling into the float. As the company continued to do well as did the stock, we eventually did a 2 for 1 to increase the shares OS and float and get the stock back down to a more attractive price on the open market. In the end (with numbers split-adjusted), the company went public at 2.50 on the pinks, got as low as .25 on the open market and then got as high as 60. It can definitely work, but you've got to have a lot of smarts behind the scenes. ADGO is supposedly going to do an RS to get a NASDAQ listing. This is company with good fundamentals. Might want to keep an eye on it and see how it goes.