all i can do is smile and cry
DNDN just announced a 9.9M stock offering for about $45M. (about 4.55 per share)
Management has pulled this before, and I was annoyed then, and am extremely annoyed now. With all the string of good news, hell, even TheStreet.com was turning positive on us, we get a bullshit placement at less than fair enterprise value. (as thestreet.com article suggests… i agree w/it)
The reason I smile… I sold my trading shares for a nice profit a few days ago at 5.34.
The reason I cry… Other than the above, I do not know why they are doing it.
Gold (CEO) has continuously stated that they have enough funding to see Provenge through the FDA decision. But here are my theories…
1. He is being prudent. The data is rocky and may not get approval, but an approvable letter. (Better to get a deal done at 4.50 then 2.50… because if it gets an approvable letter that is where it is going.)
2. To start up trails on Neuvenge again.
3. To be in a better financial position when negotiating w/a Partner for ‘rest of world’ rights to maximize returns.
The list can continue, but it is pure speculation.
Make no mistake, I am annoyed at the offering. Today’s action completely messes up our trend, but if 4.70 holds the upward move is still intact.
This also saved a lot of shorts… i mean a lot of them. Gold gave them the best opportunity to cover w/out fucking their position too much.
