Jan. 20 at 12:25 AM
$CGAC
6.1 The Dilution Overhang
The single greatest risk factor for equity investors is the share count.
● Outstanding Shares: 9,539,155,246 (as of Sept 12, 2025).1
● Market Capitalization: At a price of
$0.0001, the market cap is ostensibly ~
$1 million.
However, the sheer volume of shares creates massive friction for price appreciation.
The "Penny Stock" Issue: Institutional investors are structurally prohibited from buying subpenny stocks. To unlock shareholder value, the company must perform a Reverse Stock Split.
While retail investors often fear reverse splits, in this context, it is a necessary corporate
hygiene step to up-list to the OTCQB or NASDAQ. A 1-for-1,000 split would reduce the share
count to ~9.5 million and bring the current price to ~
$0.10-
$0.20, making the equity tradable
for smaller funds.
http://www.digitalbdinc.com/report/cgac1-15-26.pdf
