Don,
I think we both know that the real price today(if your bought through the financing) was closer to .77/share(3shares(2share+1option)for the price of 2(1.15x2=2.30/3=.77)). I'm sure as a director, Philip Coelho had easy access to that.
Or, if you bought today in the open market, you could have bought all you wanted for 1.08 or lower,(the low), assuming it doesn't go lower still. "Everyone" of course knows that these things(involving warrants) tend to price lower in the open market than the face issuance price(which again, only makes sense, considering dilution via increased shares and warrants).
Either way,(but particularly in the case of the financing), the discount is very significant.
As far as the "half a brain part", if that's true, assuming any of us had one(half a brain), why would any of us, you and I included, accumulate any before this event?
I know I did because I didn't pay enough attention to the financing pattern. I'm not sure why you did, since you apparently anticipated this event.
No, I'm not aware of any ultra small biotechs which have been able to finance without issuing warrants(though I haven't studied the issue).
But the fact that CPRX's CEO had a large stock position and wasn't likely to issue warrants(particularly since CPRX hadn't to date) was part of their appeal.
Bottom line: I have no problem acknowledging the liabilities of companies I'm willing to invest in. CPRX's addition of warrants certainly is one.
In addition, purchasing before this financing was a mistake on my part, and I think that director demonstrated at least "half a brain" by selling 71% of his position(217k shares) when he did. I just wish I had paid a little more attention to a move like that.
Hopefully, I will in the future.
Regards,
bw
