RE:RE:RE:RE:RE:RE:RE:RE:RE:My GuessThe investment bank will either purchase the shares to cover them or sell them. Medipharm got $70~ million cash for that dilution. How do you expect them to grow??? Acting as if the cash won't be used for expansion / other projects.
Dilution is mandatory for any new organization in order to receive more $ to help grow..basics man.
If they deliver on those plans the stock price will easily be higher than the 52 week high and likely that won't take long.
The issue was medipharm pumped the stock to $7~ and the BD was done at $5.55 so anyone above that got caught off side. Now the dilution occured and the overall MJ market dropped for a couple weeks (which has happened so many times before). Now it is coming back and could go up and down for a bit longer but come earnings this is all behind us.