Disco,

Poet has also indicated that a 5 for 1 split may not be necessary and ,if needed, could utilize some multiple below that. They wanted approval up to that level but may not require a split of that magnitude. So, it could be that NO RS occurs at all or some level below 5:1.

As an example; Lets assume that PTK delivers on the material news and is trading for a sustained period of time at $8 Cdn. However, lets also assume that the US dollar continues to strenghten against the CDN dollar to an exchange rate of 0.80 thus making the SP $6.40 USD after conversion. Poet may decide that they wish to have some breathing room with the SP and upon making the leap to the Nasdaq also conduct a 2 for 1 split in order to move the price to $12.80.

In this case, Shareholders are happy because of the stock price appreciation and the Nasdaq listing. In addition, it also serves to reduce the float.

As discussed, the RS is not the first choice but merely an option. It does not have to be veiwed negatively.