POET Technologies Inc.

It won't ! They clearly have no investing experience with reverse splits and someone has advised them very poorly OR they don't give a damn about their shareholders. They have the good to grow this organically, and without changing the share structure. This is a massive mistake!

Market psychology dictates that a move from 5 cents to 10 cents is perceived by investors to be easier to achieve then for a stock that needs to go from $5 to $10, which is easier than a stock that needs to go from $50-100. Its just the way it is, and on top of that, the stock has much further to fall.

"TheStreet also indicates that retail investors typically do not like to see the number of shares they own decrease, even though the total dollar value of the stocks does not change. It cites Citigroup as an example, saying that its investors would rather buy 100 shares of a $5 stock than five shares of a $100 stock.

Read more : http://www.ehow.com/list_6853805_pros-cons-reverse-stock-split.html"