The big corporate reorganization plan was only announced 20 days ago. It may take a little more time to work out. Actually if the plan does not work out for whatever the reason, there is always a chance of ............(BK).
I agree with you. (Bk possibility has scared me, as I have seen many times -unexpectedly. I have raised this question with Tiago Girao several times since the beginning of the year. He has always disagreed with this possibility, while the STAR data remains a good win. But now he has been very quiet with this question when it is raised again. Tiago is a strong company pro. But he has made many mistakes before. Remember he used to deny the possibility of a r/s for a very long time, until it happened. This is why he is useless for many investors. He sticks to be 100% company man with only publicly known information.)
It also looks like some people are in for just quick profit.
We are in almost same trading pattern (after a period of channel trading) 2 years ago. I asked Cytxer for a comment. His remarks indicated that if we would close above 40 cents (2 days in a row) with a good trading volume, it should go up to 52 cents (a piece of cake as he said). Actually he made an amended call after the first day after a very strong uptake from 38 cents to 40 cents that 52 cents would be within reach soon.
At the time (2 years ago), we did go up to 50 cents and Hedge had a comment at a later time that the 50 cents mark might have precipitated a lot of shorting.
$0.47 area may be a bit of a issue before the slam dunk $0.52, however, imho what we know with todays filing is the small nature of the interest. Cytori really just needs enough to float the next secondary anyway, so they only need to provide some hope. Its whats not stated that should be the real concern and where is JK ? LOL. Hmmm.
1. This Oxford new deal is actually better than what DOV has been advocating for CYTX to pay interest only for another period of time.
2. CYTX has freed up some cash. Together with the ATM cash that Tiago was able to fetch around $ 1.1 before the release of the STAR data readout in late July, the company may be able to buy more time to finally complete the "reorganization" (such as a partnership, corporate buyout or sellout, etc.).
3. CYTX and TAP must have presented a "convincing" plan to Oxford, as well as some supportive data and information.
4. I personally think the Rights offering has encountered some major obstacles and it may be delayed, if not cancelled.
In one of my last emails to Tiago in late July, I told Tiago that if nothing drastic happens, the sinking ship may be totally submerged by Xmas Day 2017. I have seen so many small biotechs and pharmas closings during the Christmas-New Year seasongs (often without warning).
Finally, I think this Oxford new deal and the 50% cut in headcounts are good signs, but they are just the beginning in the seek for a better reorganization. I hope Hedrick and Rickey would be replaced during this process. We need better leadership and vision/workable implementation.
Complete buyout the only real solution imho.
They certainly should have enough to have the next scheduled call in November and likely now year end.
So they were willing to give up the patents for $3.5 million ...that lets them breath to the holidays.