Split Down (Noun)
Meaning
A decrease in the number of outstanding shares of a corporation without changing the shareholders' equity.
Classification
Nouns denoting acts or actions.
Examples
- The company's stock price increased significantly after the reverse stock split_down reduced the number of outstanding shares.
- Investors were notified of the upcoming split_down, which would consolidate the company's shares and potentially boost its market value.
- As a result of the split_down, the corporation's shareholders' equity remained unchanged, but the number of outstanding shares was drastically reduced.
- The board of directors approved the proposal for a split_down to simplify the company's capital structure and attract more investors.
- Following the split_down, the company's shares began trading at a higher price, reflecting the reduced supply of outstanding shares.