It depends on the circumstances, usually companies consolidate...

It depends on the circumstances, usually companies consolidate for short term gain,
They consolidate, the new higer price is set, and then nothing happens internally inside the company, the share price slowly slides down due to post consolidation gravity, and when the directors and insiders think that they have enough of the new shares at a fraction of the price, BINGO!! the news comes out, or manipulation starts and they make a lot of money and the poor hapless small shareholders, who got sick of holding and watching the shares slide down are jaded and this teaches the market that consolidation is bad
In St Barbs case they have the goods and they are a tenth of the price that big US companies are paying for big ounce companies like St Barb
Initially St Barb suffered from this post negative consolidation announcement blues yesterday but that didn't last long as the smart money knows how positive this consolidation is.
Just look at Newcrest they consolidated at around 50 to 60 cents some years ago, look at them now