Investors in Helios and Matheson Analytics (NASDAQ:HMNY) probably need to hold on tight as the volatile share price swings look likely to continue.
The company scheduled a special meeting at which it wants shareholder approval to effect a one-time reverse stock split at a ratio of 1-for-2 shares up to a ratio of 1-for-250. Helios also seeks to increase the number of shares authorized to 2B from 500M.
On a separate note, Helios' investment in Gotti through MoviePass Ventures doesn't appear to be paying off after the film only drew less than $2M in a limited release. Despite some heavy marketing from MoviePass, Gotti is being absolutely destroyed by reviewers. "It’s the ‘7-Minute Abs’ version of Goodfellas, but somehow so much worse than that sounds," writes IndieWire's David Erlich. "The film is pretty terrible: poorly written, devoid of tension, ridiculous in spots and just plain dull in others," chimes in The Hollywoood Reporter's Jordan Mintzer. It's a complicated formula though because in theory a slow box office for Gotti means a reduced level of payments back to exhibitors.
Shares of Helios spiked 30% late yesterday to close at $0.44, but are back down 35.6% in premarket trading to $0.29.
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