RE:RE:RE:RE:Back to 2.80 soon!!I can only conclude we have witnessed a major strategical misstep by the braintrust at PLI. All of the relavent information with respect to products in the pipeline was publicly released prior to the analyst's day. If there was any expectation the pumps were to be primed in advance of the New York event, they were cruelly put to rest. How easily the market players erased any forward momentum. Then to reveal further financial obligations by announcing additional capacity, the trigger was pulled for yesterday's price collapse. I'm sure this was as surprising to Pierre as receiving a stick of dynamite in his Halloween treat bag.
Now, in a perverse sense of irony, PLI has effectively weakened their position in terms of closing any possible partnership deal, unless they're dealing with a bunch of philanthropists of coarse. Assuming Pierre and company are truly motivated and eager to close the deal, their counterparts on the other side of the table may feel compelled to slow things down.
I believe we're suffering the consequences of Pierre's unwillingness to part with something as a means to advance the greater prospects of the company. We almost paid the ultimate price in 2008 when the company was on death's door, I would have expected some lessons were learned from the experience. Obviously, only my personal view, but I've heard the 'we're retaining shareholder value' coming from his mouth for over a decade and frankly, much like the never realized revenue projections from resin sales, I'm numb to them. For all the potentail retained ownership, I see a float in excess of 600 million shares, and growing. I still have over 90% of my rather substantial holdings but I'm becoming more than a little annoyed with the lack of ability to do a partnership. Do the F ucking deal already.
If the plan was to tap the capital markets after each leg up, allowing PLI to extract maximum concessions from 'Big Pharma', scrap the plan. Mr market at this moment isn't interested in expanding this company's market cap, regardless of all the blue sky potential, or whatever the analysts are predicting. They see more opportunity in shorting the stock and I can't say as I blame them. An embarrassing sub 20 million dollars revenue picture and a billion dollar plus market cap is a pretty big bull's eye on PLI's back. Couple this with a clearly unimpressive third quarter revenue snapshot and we have the perfect storm for what is happening. Take some ammunition out of the manipulators hands by bolstering the balance sheet.
I resist getting caught up in the emotions of the moment, but I really, really hope PLI is as close to doing a deal as Pierre implies. I'm afraid my frustations are beginning to show.
Good luck,
Felco