RE: RE: MXI bucks the trend again!!What can I say Bob, I am not a big believer in diversification! My philosophy is that your eggs are easier to watch when they are in one basket. That said, if a client had come to me as a broker, especially a retired client, with most of his net worth in a single volatile penny stock I probably would have turned down the business-too much potential liability.
The reality is, though, there is almost no chance of a total flameout with MXI. The assets are real and exceptional and they are very underpriced in the current vehicle. Thus I suspect that we are coming to a major corporate evolution sooner than we think and that is not a good thing. Right now I suspect a cash offer in the 85 cent range would get most of the stock. This number doesn't come out of thin air, its a consensus number from three large shareholders that I have spoken to lately. I believe that the stock price will strenghten organically as results come in-I also believe that potential suitors, especially Iam, also know that. Its logical to assume that someone, probably Iam, will recognize that their own best interests are served by ending this game early.
Max-I tried to mitigate the impact of this last dilutive financing on my own account by participating myself-I was shut out! I hate to say it but this is Tiberon all over again-we are going to get bought out with a large chunk of cash sitting in idlely the bank.
We need to get management to focus on the market-and I don't think that they know how. This is going to be a nice win for almost all of us-but it could have been a huge win.