The directors of the company will only complete the consolidation if they believe that it is in the best interest of shareholders at a particular time, and only with a specific strategic objective
Clarification from Chris Chu:
It dictates the reverse split would only be used as a tool if needed vs something that will imminently happen if investor vote it through.
My take away from this is that POET monitors this board and felt that some reassurance was in order. I think the kicker was probably a result of reading some of the statements on this board suggesting that management did not expect to reach NASDAQ qualification levels without an RS. This clarification suggests to me that they do have confidence that it will not be needed but should remain avaliable in the lower ratio if it is needed. And if it is needed it will only be used if it benefits shareholders. To me there is only one thing that benefits shareholders and that is a higher share price…Am I right?
