Assuming the price isn't so low that each increment represents a...

Assuming the price isn't so low that each increment represents a significant percentage move, or so high that each share is a significant parcel, at best a consolidation is window dressing, and at worst it is a distraction and waste of money.

If there are trading houses that reject shares based on the number of shares, then they are hobbling their own performance for no good reason.

If they argue that too many shares demonstrates repeated capital raisings to survive rather than grow, and therefore poor management, how does a consolidation change that? What is the point in making a company more attractive to people who haven't properly researched it?

I don't see why a bot (or anyone else) cares whether they are buying 100x10c shares or 10x$1.00 shares. Same cost, same percentage of the company, same entitlement to dividends, same potential for capital growth, and same risk.

I'd say the reason so many companies fall after a consolidation is that when management put their attention and company resources into such things, it is likely because they are out of ideas for growing the business.