I'm "studying" RVE for the Mechanism of Consolidation and Share...

I'm "studying" RVE for the Mechanism of Consolidation and Share Buying of projects ie I don't Hold RVE.

The Consolidation 1:2 should double the price.However the Issue of some 160mil shares will Reduce the price by approx 1/7th [one seveneth] to approx 6 cents Heads.

I'm talking price in terms of Data Provision re RVE's history for Charting purposes.
Now it seems that RVE will go into trading halt til the last week in September while this placement and Share Issue happens after today's trading in pre reconstruction shares [not sure about this.read it in the report]

Frankly I see this deal as a Back Door listing on the ASX by these Sth American Vendors.
After Reconstruction-
Current RVE shareholders will have a minority stake of total ~30mil shares
with Placement Holders $15mil [maybe another 70mil odd?]with the Sth Americans 160 milish and Rising.
Obviously the Sth Americans are Majority Shareholders and existing Shareholders are being greatly Diluted.

I don't know what the effect of all this will be on the Options Holder.Above calculations are very rough and just for the purpose of getting "d'gist" of Day 1 after Trading Halt lifts approx Charting Price.

One also has to consider that this Deal has yet to be passed by the upcoming AGM.It might not happen.

Anyhow,anyone with more specialist knowledge on Price Adjusting for Capital Reconstructions is welcome to confirm/deny/fine tune my calculations and scenario.

Happy Trading