Ebenyo wrote:obiero wrote:Spikes wrote:This thread is about to lose credibility it used to enjoy.
Weka link
i think he means that many retail shareholders of kq did not grasp this consolidation well.The final result is that if an investor had 4000 shares,he now has 1000.So there is still no gain whatsoever despite the price change.The banks and other big lenders are the ones who have benefited only.The former shareholders are still in the red.
I've seen this assertion that "banks benefited" a few times including in the
media. When we say that "banks benefited" what exactly does this mean in this context? any one who knows how they seemingly "benefited" ?
If they converted to shares prior to consolidation, they should have been subject to consolidation too. If they converted after consolidation, they should have paid the higher price of the share post consolidation. Did neither of this apply? was a discount applied on the conversion price?