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Can someone help explain this? is it right?

$Kintara Therapeutics (KTRA.US)$ After the 1:40 reverse stock split, Kintara has 1,384,250 shares, with a price of $74 per share. tuhura issued an additional 13.6 million shares, but these new shares were not given to Kintara shareholders. The 1,384,250 shares represent 2.85% of the total shares after the merger. TuHURA issued a total of 48,570,175 shares, and the stock price dropped to $2.11 due to dilution. Even though Kintara shareholders own 2.85% of the new company, their stock price has been diluted. Does this mean that Kintara shareholders' assets have significantly decreased in value?
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  • Youngbuffet : that is the way you guys miss informed people posting jargons up and down. 2.85% of 55m units KTRA OS is 1.5m plus where do you see 48m to be issued ? where do you see 1:40 when 2.85% ownership is equal to 1:35 RS. Am sure u have confused people more and that is why u won't see people answering your post.

  • 72656024 OP : Just do a simple math calculation and you'll know. 1384250/0.0285

  • Youngbuffet 72656024 OP : which simple mathematics are you talking about? KTRA in their last PR issued stated they will do RS of 1:35 so where do you get your own 1:40. This is my 3rd merger experience and all of them follow same pattern. New company can't start with 48m OS they will issue more shares later but not now because they will definitely need more funds but they will push the price up well so they don't have to issues too many shares that will make the share price go down easily.  I don't know how and where you got your own info.

  • 72656024 OP : Will the market value remain unchanged if 2.85% of the shares are locked  the same and new shares are issued?

  • Youngbuffet 72656024 OP : I expect total shares outstanding to be 11m post merger and the price will go up wt time