Post by
palinc2000 on Jan 13, 2021 8:43am
The deal
It almost seems like it went like this
Price was set a few weeks ago but there was a prerequisite condition that FDA had to approve the 2 Trials
There was a maximum discount to the market price ----otherwise the terms had to be renegotiated
The market price was inching up daily after the Jan 6 th PR ..... The Underwriter did not want to be facing the maximum discount clause and acted accordingly in haste ....
So when the 2,75 price was set it was higher than the market price but that was before the Jan 6 PR and management agreed to it
I may be reading the tea leaves too much but I think the short delay between the PR of Jan 6 and the announcement of the deal yesterday can only be explained by this scenario
Comment by
palinc2000 on Jan 13, 2021 9:27am
The Underwriters motivation will now try to see the SP resume its upward trend
Comment by
scarlet1967 on Jan 13, 2021 10:24am
Yes I also think they would like the shares to rise now.