A technique used by companies to purchase back all outstanding stock from certain investors when a relatively unknown number of shares are in question. This strategy requires the company to first announce a reverse split of their stock, followed by a forward split. The main benefit to this type of split is to reduce the total number of shareholders and as a result reduce administrative overhead.
Related information about reverse/forward stock split:
- Reverse/Forward Stock Split Definition | Investopedia
A reverse/forward stock split is usually used by companies to cash out shareholders with a less-than-certain amount of shares. This is believed to cut ...
- Why do companies use reverse/forward stock splits?
Feb 12, 2010 ... Companies will use reverse/forward stock splits mainly in an attempt to save future administrative costs. A reverse/forward stock split involves two.
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Jan 10, 2011 ... DGT Holdings Corp. announced today that it has completed the previously announced reverse stock split at a ratio of one-for-fifty and a forward ...
- The Reasoning Behind the Reverse/Forward Stock Split - Financial ...
The reverse/forward stock split is a tactic that is utilized by many companies at some point. It has become a controversial practice in the eyes of many individual ...
- What is a Reverse/Forward Stock Split? - What Is A Stock Split - Split ...
What is a Reverse/Forward Split? >Date Added: March 28th, 2006. By Chris Stallman | E-mail. "A company I recently invested in had a reverse/forward split and ...
- Del Global Technologies Corp. Board Authorizes Reverse/Forward ...
Jan 6, 2011 ... Del Global Technologies Corp. Board Authorizes Reverse/Forward Stock Split Previously Approved by Shareholders to be Effective January 6, ...
- What is reverse/forward stock split? definition and meaning
Definition of reverse/forward stock split: A technique used by companies to purchase back all outstanding stock from certain investors when a relatively unknown ...
- Brocade - Brocade Completes Reverse/Forward Stock Split
Jun 27, 2007 ... SAN JOSE, Calif., June 27 -- Brocade(R) (Nasdaq: BRCD), the leader in networked storage solutions that help enterprises connect and ...