RE:RE:RE:Cant say I like the price.What bothers me the most about the lack of support Prometic gets from anyone (aside from the FDA), is that even their biggest shareholder and what should be their biggest supporter, Thomvest, makes zero effort to improve the situation by offerering Prometic the most c-r-a-p-p-y terms I’ve seen on a financing in a while.
As I mentioned before, they could have worked with Prometic on this by offering outstanding terms, say $3 per share, in 5 x $30 million tranches as needed, for a maximum of $150 million. This would have shown the markets that Pli did in fact have a strong supporter who believed in them and their products so strongly that they weren’t scared to commit. This show of confidence would have provided Pli an extreme strong hand in any negotiation, without ever having to use any of it. Moreover, the shares would have more than likely immediately gone up to that level, so great for Thomvest and their already huge position, great for Prometic, and great for the shareholders. The shorts would have also scrambled to cover, creating an even bigger influx of funds and SP increase for Pli.
So basically, the financing they just agreed to, serves the same purpose, to give Pli access to $100 million funding for negotiations purposes, without ever having to use it if deals and voucher get the funding we require first. The only difference, it created a sour taste in everyone’s mouth due to the horrible terms, be it $1.70 strike price on a possible 54 million shares, for 8 1/2 years.
Seriously? It makes me think that Thomvest is not really smart, and Pli, not so sure why they agreed to that unless they had no one else seeing the value, which would be quite the strange thing, months away from first approval opening the flood gates to other.
I really think the financing at $1.70 is a major screw up when it could have been done at $3 to benefit all parties. And if people don’t understand why $3 was even a good deal for Thomvest, their already huge investment would have nearly doubled, and the most we would have seen is most likely 1 to 2 tranche of $30 million utilized, but so much upside to a deal of that sort.
Mind blowing if if you ask me
balain