RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:National Bank CommentsWhy do this deal now? We can only speculate but here are three guesses:
1.) The financial engineering required to produce the good results at the end of Q3 have started to reverse and they were likely to violate the $20 million cash buffer again. But why raise so much and dilute current shareholders by so much even if this was the case.
2.) The first TH-1902 patient has already seen some toxicity leading the company to be concerned about the outcome of the trial and the ability to gain cash from psrtnership deals.
3.) They were worried that shareholders, who came very close to firing them at the last AGM, might call a special meeting to actually do it this time. By doing such a large offering well before it was necessary, they cut that possibility off at the pass. Yes that is ugly but this seems to me to be the most likely reason for the early timing and large size of the offering.
juniper88 wrote: My point was more like "buyer beware". They threw us under the bus (twice now), soleus (if they sold it was at a substantial loss), and Paul will have no loyalty for the next investor either.
And what is the point of laying off all those scientists if you're going to do this? The more I think about this the less sense it makes.
mikeq113 wrote: This assumes Soleus is still around. They may have already exited given how substantial the selling was around the reverse split.