You are way off the mark. If the share price doubles (in your example) it still only doubles.
Let’s break it down. $10000 invested in 10000 shares at $1.00 a share. After consolidation you will soon have 100 shares valued at $100 a share, still worth $10000.
If the share price on the ASX had doubled , you now have $20000 tied up in 10000 shares worth $2 a share.
In the US the share price doubles, you now have $20000 tied up in 100 shares which are worth $200 a share.
I hope this makes sense, I can’t explain it any more simply. The bottom line is the value of your shares here is the same there and will now be subject to market forces the same as they were on the ASX.
IHL Price at posting:
4.1¢ Sentiment: Buy Disclosure: Held
