What is really going on here? .........Good morning Cormark,
I just had the pleasure of reading your analyst's latest update on Spectral Medical. It would appear as though you remain very "down" on the company and "dredge" out a story that leads to apparent "doom". I find the history of Spectral and Cormark interesting and am disappointed at the apparent results of our multi-year relationship that has included two different analysts. I must say I was initially "excited" to learn of the new analyst's appointment to our account, as I am aware of his thorough and professional understanding of "personalized medicine". In your recent update on our company, you failed to mention anything in regards to "personalized medicine", however you mentioned "data dredging" a total of 5 times and used the expression "data snooping" and "data fishing" to help explain "data dredging". I will keep this brief and not use exclamation marks or stories of EDT failing to score 180 ( say it like a Brit ), but I am confused around just what it is Cormark is attempting to accomplish. Cormark had a target of $1.70 on it when the 2nd analyst arrived. On June 4th 2015, Cormark put EDT "under review" and we remained as such for 360 days, despite Cormark's particpation in an oversubsribed financing at 70 cents in early 2016. Your first full paper was written on May 30th 2016 one day before EDT's AGM. The paper had a "negative tone" and included a story on Polymyxin B from a 1979 study ( PMX or Toraymyxin wasn't approved until 1994 ). Your front page analysis contained a "3% inside ownership statement" and failed to clearly explain Birch Hill and Toray's near 40% partcipation. If I were one of the clients that particpated in your 10M+ financing at 70 cents, I would have been very curious as to the tone of your paper, your downgrade from $1.70 to $1.50, and your unwillingness to wait just 24 hours to report on the AGM details. I know your analyst attended the AGM, and as an astute follower would have known that the 446 patients ( FULL Euphrates enrolment ) had actually been achieved on May 31 2016, despite the company telling us they needed 4 more patients. For an unexplained reason, Spectral chose to move the phase III from 446 patients to 450 without explanation. I am watching very closely now, as I lost A LOT of money on Sprott's call on Timminco, and am curious as to whether this is a similar story. The difference being Sprott was VERY high on Timminco, and it went all the way south. You seem to be starting about as far south as possible ( 3 cents ) with EDT, let's hope we end up north, way north, like say "Timmins" and not "Timminco"
Sincerely,
Jorge