Ann: Consolidation/Split - NVA, page-8

From what I read, Consolidating shares can be beneficial to Growth stocks, as it removes the volatility that Pennystocks have.
Additionally it makes it less rewarding for Day traders looking for pips, as the risk/reward ratio is reduced.

Furthermore, for Hedge Funds, Super Funds and a number of other Professional Investors, their investment rules state they are Not Allowed to invest in Stocks whose Share price is too low (some wont even purchase stocks below $5).

Lastly, a number of American indices and such only include stocks above a certain price and below a certain volatility.

So I believe that this consolidation is all about preparing NOVA to make bigger moves into the US Stockmarket
(possibly to take advantage of the upcoming inflation hedging??)



I am still not happy about the recent Cap Raising.
But after researching over the weekend, I am positive for the Consolidation.