Cemtrex today announced a pending six-for-one (!) reverse stock split of its outstanding common stock. The move comes at the OEM/EMS tries to regain Nasdaq compliance.

Rewind a little and you’ll see over the first two quarters Cemtrex’s revenues have dropped more than 22% and losses are piling up.

Rewind a little more, to April, and Cemtrex’s shareholders were approving a proposal to the number of authorized share shares by 20 million, to a total of 50 million.

Rewind a little more, to 2017, and Cemtrex was making a bid to acquire KeyTronic, despite the latter’s significantly larger size and experience in EMS. There were a total of three “offers” in all, none of which actually involved anything more than a press release.

As KeyTronic batted away the proposals, Cemtrex grew even more bold, asserting in a followup statement that its intended prey could do with better management. “A combination of the two companies will unlock significant shareholder value for both companies, by enabling cost savings, higher earnings per share and a more attractive price to earnings ratio than either company is currently maintaining.”

Eventually KeyTronic grew a bit aggravated with the unwanted attention, calling the suitor “unqualified” as a buyer. “Our initial research shows [Cemtrex] reports approximately $45 million of EMS revenue. In our opinion, this does not qualify [Cemtrex] to make any statements as to how it might operate an EMS business like KeyTronic which is over 10 times [its] current size in terms of revenue.”

The overtures ceased shortly thereafter. By the following January, Cemtrex was consolidating its EMS plants and selling off operations.

Still, even with that episode well in the rearview mirror, I have to think that wherever he is today, KeyTronic CEO Craig Gates must be smiling.