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NEW YORK, Dec 8, 2004 (BUSINESS WIRE) -- IBAC Corporation (Pink Sheets:ICAN) announced yesterday that during a Special Meeting of the Board of Directors the Company approved a 1 for 100 forward stock split of the Company's common stock (announcement).
The forward stock split will be effective on or about January 7, 2005. (Clarification) Shareholders will get one share of common stock for each one hundred shares of common stock they own on that date. The proposed stock split is subject to regulatory approval. The company apologizes for any confusion that the announcement may have caused."This forward stock split is intended to lay the groundwork for the anticipated growth of the Company,"said IBAC Corporation President&CEO Edward W Hayter."It is also part of our ongoing efforts to improve trading liquidity, broaden ownership and enhance shareholder value."The company has received hundreds of calls regarding several issues first and for most is the question of a reverse split the company has no plans of a reverse split, secondly the company has been asked about any involvement of a Mr. Chris Astrom and/or Mr. Richard Astrom neither men have any involvement in management or ownership of this company furthermore if anyone persists in implying this the company will pursue any and all legal remedies.
The company has also been asked are we going to do anything to get the company noticed to the investment community. The company elected to reward current shareholders with a bonus and also bring attention to the company with the same bonus for potential new investors, as the company refuses to employ any stock promoters etc. as this is not in the company's or shareholders best interest.
The company encourages and welcomes all shareholder questions and/or comments via the company web site http://www.ibaccorp.com or phone.
About IBAC Corporation: (Pink Sheets:ICAN). IBAC Corporation, a food service holding company based in New York, NY. Operates upscale fine dining establishments and food&beverage facilities throughout the United States. IBAC intends to grow aggressively throughout the next three years, through acquisitions, mergers and the building of new establishments. The company's acquisition of a majority interest in National Hospitality Management Services Co., Inc is consistent with our stated growth plan.
They are calling this a FORWARD SPLIT, but they are describing a REVERSE SPLIT. At a price of .0003, a forward split makes no sense. That would move the price to .000003.
Can something help me understand what they are planning to do? Thanks for any help.
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They did say FOREWARD and not reverse. They even stated that there WOULD NOT BE A REVERSE.
They may intend on a buyback or try to get more shares in the open market without massive dilution. I don't know this as I don't know ther AS or OS, but anything is possible. They also may want to increase their average daily volume to attract more investors.
I will do some DD and let you all know if I find anything out.
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It almost reads like if you had 100 shares, you would then have 101. Somebody needs to clarify.
Posts: 722 | From: Richmond, Va , USA | Registered: Mar 2004
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Reply from ICAN regarding their announced forward split:
"You will receive one share for every 100 you own so in this case you will end up with 101 shares.
If I can be of any further assistance feel free to contact me.
Regards, B. Denenberg Investor Relations IBAC Corporation"
Now I understand. I would call this a "stock dividend" rather than a "forward split", but in technical terms, they may be right. I have to give them credit for their quick reply.
Now I have to determine if the company is a good buy, with or without the dividend. All opinions will be appreciated. If we share information, we may all get rich.
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Glad you all got some, things look good here for a bounce as well. Do we know of what record date the pay out will be? Just to make sure we all have some Posts: 171 | Registered: Oct 2004
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