A company issued press release this afternoon states that they intend to perform a reverse split. This equates to applying the brakes to any kind of momentum the trading session today was building. It also leaves a sour taste in the mouth of all current shareholders of CBAY as well as making those looking at a position think twice before buying. It is an ugly maneuver that usually benefits the company and no none else.
A stock can move with billions of share outstanding. CBAY and its new reverse splitted ticker (yet to be named) can expect a complete lack of interest from the penny stock investor public going forward. Add this one to the growing list of do not buy.
Cal-Bay Intl Inc. Announces Board of Directors’ Vote to Effect Reverse Split of Company’s Common StockBusiness Wire “US Press Releases “
HENDERSON, Nev.–(BUSINESS WIRE)–
Cal-Bay Intl Inc. (Pink Sheets:CBAY) today announced that its Board of Directors had voted to effect a reverse split of the Company’s common stock.
The Board of Directors of Cal-Bay Intl Inc. has decided to effect a reverse split to obtain an increased and more attractive stock price, thus attempting to provide better visibility to institutions, investors and analysts. This could make the Company more attractive to a broader financial base over time.
Instead of issuing fractional shares of stock as a result of the reverse split, Cal-Bay Intl Inc. will round to the nearest whole shares for those stockholders who would be entitled to receive fractional shares.
FORWARD-LOOKING SAFE HARBOR STATEMENT: To the extent that this release discusses any expectations concerning future plans, financial results or performance, such statements are forward- looking within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended, and are subject to substantial risks and uncertainties. Actual results could differ materially from those anticipated in the forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof and reflect only management’s belief and expectations based upon presently available information. These statements, and other forward-looking statements, are not guarantees of future performance and involve risks and uncertainties. The Company assumes no obligation to update any of the forward-looking statements in this release.
Source: Cal-Bay Intl Inc.