RE:FJ post Updated list of questions on financing. After the Nasdaq listing, the stock went down 8 straight months as did the semiconductor ETF and Rockley Photonics. I think Poet did not attempt a financing because they believed a series of good news releases on partners, customer wins, product developments would push up the stock. All public co.s are the same -- mgmt always thinks their stock is worth more than what the market is willing to pay.
Mgmt needs to answer more than one question on financing…..
Why did co. wait so long to do financing after listing on the Nasdaq?
Why did co. wait for cash to run so low before doing a financing?
Did co. rely on customers’ forecasts of orders to plan the timing of financing?
Why was the ATM option just considered recently and not earlier?
Why was the latest financing initially announced with zero details sabotaging it from day one?
Why announce a financing just before financial statements are to be released?
Why allow Zacks to issue a negative report in the middle of a financing?
Why did the prospectus say insiders would participate in the financing when they did not?
Why has co. never considered a rights offering which would avoid warrants and underwriting commission?
Why has co. never considered an existing shareholders distribution which would also avoid warrants and avoid filing a prospectus?
Has the co. approached customers for a bridge loan or cash deposit on future sales?
Don’t customers like Celestial value a supplier with a strong balance sheet?