RE:RE:RE:RE:A concern?Off the top of my head, $3.16 by January 2024 bringing in between $20 and $25 million. But most would likely hold until 1/24 to convert them.
Wino115 wrote: Anyone remember the expiry date, exercise price of the ONO warrants and what full exercise would bring in. If they can get it back to that price level, they'd have something come in assuming most have still not been exercised.
Wino115 wrote: Agree 100% PWIB. I realize they have a conservative Board of Dirs, so this could happen. But in stating they have enough for the year, seeing revenues grow, and having a means to unlock more of the loan, it would be perceived as nothiing but negative at this point.
PWIB your point is spot-on. They can get the money by diluting existing shareholders or they can decide to partner in oncology for a region at, perhaps, less than what they thought. That doesn't dilute shareholders and brings in a motivated partner for that region who, maybe, got a really good deal. That's far more palatable at this point for me.
More than anything, it would point to them wavering on whether TH1902 is performing up to snuff. Just not a good look at all around the oncology pipeline if they did that. Further, Soleus would be on our side of that argument at this time.
PWIB123 wrote: SPCEO1, this would make no sense and would be a terrible idea. THTX just told us on the conference call a few weeks ago that they had enough cash for a year. Plus, they have a pathway via the loan to unlock more cash. Furthermore, it was stated that they expect to see efficacy from at least one cancer type soon. Selling more shares at this price would be a flip flop of what we heard on the conference call and would definitely send a negative signal.
I'm not sure what's worse, partnering too early and not getting paid the highest premium or diluting the company now in order to gain a larger cash reserve. I can imagine institutional investors would like to see more cash on hand with future clinical trials likely, but THTX has communicated they have the cash they need for the foreseable future.
SPCEO1 wrote: I have heard THTX had good meetings with major shareholders post their third quarter results. Should any of those shareholders want to pickup additional shares of THTX, they would likely only do so through an offering. Could THTX sell shares to them via the ATM facility at these low prices. We know companies always find it pretty difficult to turn down alluring new money like this. I would be interested to know how people here feel about such a development should it occur. It would be good to let the company know before they pull the switch on such a deal if they are indeed considering it. We should have a voice in such a decision and we should let them hear it. Now, I am just speculating based on rather narrow info, but I suspect this is a risk. So, let's just assume a deal at $2 per share for 5 million new shares raising the company a new $10 million in equity capital just for argument's sake.
To me, doing such a deal would be quite worrisome as it would seem to indicate the data on TH-1902 is not looking good enough to hold off and do a deal once that data is available. Or, perhaps it indicates the phase 1b is going to take a lot longer than they are currently intimating and they need to boost the cash coffers to bridge until they get there.
On the positive side, we would likely get a new analyst report from Cantor if the ATM was used. But what can a new analyst say before we get phase 1b info.