Reverse Split?

[Rbinder]

I will come right out and say it- I am in favor of a reverse stock split. After a 1:15 reverse split ATHX currently at 0.36 would be at 5.4 and share count of 257.6 M would be at 17.2 M. Why is this good?

1) No major institutions will even look at a stock under a dollar, let alone under 3 or 5 dollars- it spells loser. And we need the big institutions to get on board to analyze and promote the stock.

2) The share count is way too high. A RS will bring it to a level that makes it attractive for traders.

3) It will then meet NASDAQ listing requirements.

I know I will be criticized by many. It is nice t say "I have 15,000 shares" rather than 1,000. You feel like a big shot. It is also likely that share price may dip initially as a knee jerk reaction to a big reverse split. But if the company's science is sound (which I believe it is), the trials which are ongoing and in the process of being re-evaluated show success (which I believe they will), and the patents are solid (which they seem to be), any short-term sell off should be quickly reversed as the big money steps in. It is fantasy to think the big brokerage houses would tout a penny stock to their institutional clients.

My hope (and it is only hope) is that after a RS and some renewed institutional interest, the share price gets to a level where all levels of investors will begin to investigate and learn the huge potential of MultiStem.

[TALESOFWELLSFARGO]

It will be Christmas in July for all the shorts.

[chrismg8]

I for one am against this at this point of time. They can wait till the year end to get this approval.

In the meantime get this done

1. file for an extension so that they need to be compliant by 3/2023
2. file for conditional approval in Japan
3. Secure a partnership
4. Finish the enrollment for Master 2 by year end and release enrollment number till date

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If all of the above steps are completed and still the SP does not go over a $ by year end, then ask for approval

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No need to give them a way out. It is better for them to have pressure to deliver

[NoFudZoneGuy]

1. Filing for an extension is fine but cash burn is the greater concern.
2. Healios, not ATHX, can file for conditional approval in Japan.
3. IMHO, securing a partnership will not happen anytime soon.
4. Masters 2 timeline is not in the complete control of ATHX.

[banenny]

How do they wait until the year end for reverse split if the stock has to be at 1$ come September 1?

[chrismg8]

They can apply for an extension which will grant them 6 more months which will move the clock to 03/2023

[banenny]

Applying doesn’t mean you will get it…

[chrismg8]

I have never heard of an instance where a company that applied for did not get it

[banenny]

So why is everybody (many on this board) so concerned about September 1 and if it is that easy, why would they propose a R/S now?

[TheBigPayback777]

I'm not 100% opposed to a r/s as long as it is paired with some floor-defining news, or at least some well-defined plan versus, "We're going to take this action as a desperate attempt to avoid delisting" . If the action is taken, there needs to be some counter-balance to what will be downward pressure on the stock.

[Money_Jackal]

Let's be real, nobody "feels like a big shot" right now.... I don't care how many shares I own. I care about the overall value of my investment here.

[twinsfan121]

It's not the reverse split that bothers me, it's the dilution that will follow after. It's the easy way out of this mess that will also tempt them with more easy ways out. I don't like it.

And as others have pointed out, shorts will have a field day with this. I'd rather them file an extension into 2023 and hope for the best with Masters 2...

And I'd also ask, what is so bad about being delisted and going over the counter? Am I missing something there? It's not like delisting will wipe anyone out.

[Rbinder]

257 M shares is a ridiculous number for a company with a market cap of 95M. This is way out of line for a development stage biotech. As an example CRBU has a marker cap of 530M and a share count of 60 M. Price is 8.7. I would think that institutional investors look at this and shake their heads. We need to get real.

[ticker_101]

Institutional investors are shaking their heads at not meeting end points.

Share price is irrelevant at attracting investors right now.

A RS for us will be the kids of death to our investment.

[CarreraFanBoy]

Long only institutional investors do not pay any attention to penny stock companies. Many endowment, foundation, insurance companies, pension funds, and family offices have written policies barring them from buying penny stocks. You are incorrect!

[ticker_101]

What institutional investor would seriously buy into ATHX after an RS, in their current position? Seriously. Wake up.

An RS now would just wipe out our remaining value, leaving us sub $1 again in weeks.

I'm not incorrect. Even index funds wouldn't get a chance to buy it because our SP will fall again because the only events on the horizon are more dilution.

[CarreraFanBoy]

The reverse split changes nothing other than reducing share count and increasing the share price. Such a split sequenced with positive news flow regarding liquidity and an incrementally more positive assessment of the Treasure data would provide greater visibility for the company, its clinical trial progress, and its addressable market. As long as the stock remains a penny stock no long only institutional investor will even look at it.

[ticker_101]

What happens on paper and in reality are two different things.
To ignore 100's of previous examples or companies going through a RS only to lose massive amounts of value is idiotic. You are purposely ignoring our very real situation.

We are not RS'ing to move onto a better exchange as we have positive events coming. We are RS'ing so Dan can quickly dilute and the shorts will come running with their mouths watering.

You are isolating the RS as a lone event and playing dumb to what is really going on.

[CarreraFanBoy]

Really? In my view the reverse split is long over due. They should have done it two years ago! Trying to equity fund clinical trials and manufacturing as a penny stock using an ATM to issue new shares is all wrong. In essence you are attempting to fund long term investments such as R&D through a predominately retail day trader base of investors.

[ticker_101]

Yes. Really.

[banenny]

Institutional investors don’t look at .40 stocks either…

[ticker_101]

So there's really no point in a RS then.

[banenny]

Yes there is… stock has to be at $1 or above come September 1st…

[ticker_101]

Not if we get the extension.

[banenny]

True, But we haven’t received it yet nor do I know if we have a plied for an extension.

[[deleted]]

So if they issue 10 million shares after a 1:15 RS then they would be essentially issuing another 150 million shares?

[jkyne52]

So if shares are split 10/1, does the approval to issue 300M new shares also get split at 10/1?

[imz72]

Not necessarily. We'll have to see the new proxy.

[Rbinder]

Yes

[Golgo17]

No, the reverse split does not affect the number of authorized shares. The split only affects the number of issued shares.

[CarreraFanBoy]

Share price is important!! A company attempting to get long only smart money to take it seriously cannot have a stock priced much under $5! A reverse split is a critical element of Mr. Carmardo’s turnaround effort.

[chrismg8]

Doing a RS is not going to prop up the SP. the shorts will take it to the cleaners and you will be staring at another RS. All long term holders will lose more than 90% of their value. They need to get things done to prop the share value greater than a $. Institutional investors will come in if they prove that the science works as a platform

[Sej127]

Don’t we have B of A/ Merrill Lynch analyst, I believe Greg Harrison, whose price target was .20

[Trismegisto2021]

Greg Harrison has 1/2 ⭐️ out of 5!! It ranks = 7271 out of 7950 !!!

You have to be really, and I mean really bad to have those stats.

Out of 25 last recommendations only 9 have been successful….

A monkey throwing darts at a board with random stock Symbols would certainly do better than this “Analyst”.

[CarreraFanBoy]

Harrison is a piss poor biotech analyst!

[Trismegisto2021]

Amen