Vocaltec Comm Ltd -vocld

Discussion in 'Trading' started by spreadgod, Nov 29, 2005.

  1. Has anyone had a trade cancelled because the market participants were not trading based on the reverse split??

    This stock was $0.49 and after the 1 for 13 reverse split, should have been $6.37, but the stock was trading as low as $0.80 in the morning. We had a trade @ $1.55 and the trade has cleared (no break), but am just curious if they could come back and say the trade wasn't good. Or could they deliver less shares on settlement than what we have to deliver if we sell today (@ $5.30)?

    Here's part of the press release yesterday:

    HERZLIA, Israel, Nov 28, 2005 (BUSINESS WIRE) -- VocalTec Communications Ltd. ( NASDAQ:VOCLD) ("VocalTec"), a telecom equipment provider offering carrier class packet voice solutions, today announced that the previously reported 1-for-13 reverse split of its ordinary shares, which was announced last Friday, November 25, 2005, became effective immediately before trading began today. The closing price of VocalTec's ordinary shares on Nasdaq Capital Market on Friday, November 25, 2005, prior to the reverse stock split being effected, was $0.49 per share. Adjusted for the reverse split, such closing price would have been $6.37 per share.

    This announcement follows the conclusions of VocalTec's management, after reviewing the opening quotes in its ordinary shares and the results of initial trading today, that, notwithstanding its prior disclosures, not all market participants may be aware that its shares are trading on a post-reverse split basis, such that each share purchased or sold today is equivalent to 13 ordinary shares traded last Friday.