RE:RE:RE:RE:RE:RE:RE:RE:Additional thoughts on the ATM NASH is super clear if you allow it to be but you have to give up some of the certainty you have around it. They couldn't put all the pieces of the puzzle together to get their own internal program going so they are forced to seek partners. If circumstances change then that might change but for now that sums up the NASH situation. Unlocking NASH value depends on doing a deal. They could go deeper into the "whys" this happened and we could weigh up the chances of doing a deal but that's the situation. Pretty clear to me.
I don't know why people are getting so hooked on the idea the NASH decision was a clash between Paul and the board. Given the circumstance it looks like exactly the right decision to make. It's maybe not the outcome everybody desired but it's the only workable one for the time being. It's not this extreme and it's possibly reversible but it's like amputating a limb. Nobody celebrates it, nobody is happy it's happened, everybody could hope for better outcomes but everybody should accept it as the right thing to do to save the person.
I think you can look at the success with the regulator in getting a protocol and think every other aspect of this should just fall in line behind that. That wouldn't be a terrible logic, I had believed that idea myself. But the culmination of this process has happened at exactly the wrong time for where the market is on optimism about NASH. As I've said thtx's left field play in NASH was always going to require an appetite for risk among NASH investors and that appetite has shrunk to nothing. We have to recognize what drives the regulator's decision making process is not the same as what drives investment, there's lots of overlap but it's not the same. It's in those areas where there isn't overlap that the puzzle falls apart.
scarlet1967 wrote:
I apologize in advance for being so critical. The issue still is clear communication, shareholders of a public company shouldn’t have additional thoughts about big decisions made by the board, $50M is substantial amount of money for a small biotech like THTX and needs clear clarification re what is the purpose of the raise and why now just few months after previous offering. I believe there has been an internal argument between Paul and the board restraining him to do what he wants to do but again once you go up high enough in any organization you end up with one person who has the most influence. Among others clear communication and capital market engagements were some of the issues which were discussed during their interactions with Wino and the plan was to address it. How can shareholders believe their intentions to implement that plan were real if they issue a PR on a Friday evening re a ATM program for a substantial amount of money without saying a single word about what is their plan to do with that money?
This board has been so comfortable doing what the heck they want and get away with it, no decent justifications for their decisions, for instance the purpose of the previous offering was among others illiquidity, diversification of shareholders and market crash well the market crash didn’t happen the illiquidity was just an excuse and what do the board think the new shareholders or the leftovers after many sold for a small profit would react to more dilutions so far with no clarifications. All speculations re what is going on behind closed doors will not helping the stock. This very unnecessary uncertainty re their plans will only push future investor further away. Their second biggest investor asking very legit questions yet no luck. All these speculations make a speculative investment more and more speculative to a point that no one would want to get involved. Sometimes to me the board members come across as bunch of people who have no ideas what they want to do next and that is not helpful at all for a public company who is trying to convince the market to invest in them. So please get the overdue plan of reengineering going now.
If I saw this coming then surely the board AND Paul saw this coming. It was right for them to get to the end of the regulatory process for the sake of the partnering package. And Paul is right in that the hard work they did is of great value. Unlocking that value is the next big challenge.