Excellent point and yes, I recall these stipulations from the reading I did when our ADR listing was first announced.
So to recap:
1) Our consolidation places us safely in the required start price range for the NASDAQ
2) The consolidation ratio was arrived at via professional consultation
3) There is no limit to SP appreciation caused by the consolidation
This third point has been fascinating to watch discussion of.
I invite those who are still struggling to understand that this will have ZERO negative effect on the ability of the share price to appreciate, to embark upon a simple thought experiment.
The single share company
Sometimes it helps to push parameters to their extreme in order to better understand a dynamic.
Imagine that Incannex has a single share, worth 170 million AUD. If IHL42x receives FDA approval, and the company becomes valued accordingly, that single share could easily become worth 8.5 billion AUD.
The person trapped in the illusion of penny stock pricing being equivalent to more room for future growth, who believes that converting from 12 cents to $12 via consolidation will somehow kill their dreams of raking in multiple bags, would surely believe that jumping from 12 cents to 170 million dollars via the ultimate consolidation to a single share... would also represent the ultimate destruction of any possible SP appreciation.
And yet this ultimate consolidation would have literally zero effect on potential SP appreciation. That single share can 50 bag from 170M to 8.5B without breaking a sweat if the market comes to see its flagship asset as worth that much.
By showing that SP is really an expression of market cap via converting all shares into a single share reflecting that market cap, we can more easily appreciate that market cap is the only thing that matters. The share price will rise and fall depending on the increase or decrease of the company's market valuation.
Respectfully, I invite all shareholders who have struggled with this to pay close attention, and not miss this opportunity to learn this important fact about the market. It is fine to not know or understand something, but it becomes a crime against one's own interests to resist or negligently miss the opportunity to learn. Again, respectfully but truthfully: this is a relatively basic market concept and it needs to be understood.
Good luck to all.
