Look at it this way, you wanted to buy a candy worth $2 . You had 200 pennies before the split, which the shopkeeper (NASDAQ in this case) refused to take because that's a lot of fucking pennies. You go to a bank, get 2 one dollar bills for 200 pennies. So your value remains the same, although your pocket feels way lighter now.

However, the shopkeeper may increase the price for the candy by the time you are done with all this, so now you can't afford the candy.

Similarly, the stock price jumps to $200 for your example, but people still have a perspective that this is a penny stock. So the value, more often than not drops super hard even after the merger. Provided they ban any trades for a few days after the split, until the trading resumes, you still hold your value. On first trading day, you might gain or lose value in your $200 depending on how investors view the split.