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If you ask me, I do not believe that they filed. They way I understand is, they only had the intent to file.
To understand why this still trades you have got to look at how this company was set up in the first place.
The company was financed by people who loaned the company money and the loans were paid off in stock. It is a good deal if you can get in on it.
Now consider you have the rights to convert 1000 shares of stock. The company releases a press release and the stock shoots up. But you don't have your shares yet. You get interest on your money until you convert, so you want to wait as long as possible before converting.
So what you do is sell short. Then later you convert your 1000 shares and deliver them to the broker who handled your short sale. That covers your short. That transaction must be shown on the books of the broker. And that is most of the volume you see every day.
The other part is stupid people who think it is actually trading and so they try to jump in.
The deal for the finance people is the greatest in the world. The conversions were great when they were priced at 0.001 and the stock was trading at 0.01 or better. If you use the short strategy I outlined above you have NO RISK. You sell short, get your money, and later convert and cover. And each time the company made a press release the price popped and they made even more. They have no risk because they can sell short and cover later. All the while the outstanding balance they have on the loan is earning them interest.
Just thought it was interesting that the Trustee has a potential buyer.
Biggest Short Decreases: GNTAQ
http://otcshortreport.com/GNTAQ
Fmrick, i see you do not own any stock of Genta. What is your mission here then. Yo do not qualify for lead by example. You do not own any stock, why are you here!
Where did you get this information or is it speculation?
Hey Gary, these pumpers are already on the SEC and FINRA screens, so I would suspect that there will be some interesting conversations if the next couple weeks.
That one post (the one with Pfizer) is too funny to even comment on. It also will get someone put in jail. The drug listed in the post is not even a Genta drug. This is just plain bull. I also did a few quick searches and found that someone is hyping this same stuff on a bunch of other boards. We see this all the time on these type of stocks. The problem is, I KNOW that the SEC and FINRA are already looking at what has been going on with GENTA, so how dumb can someone be to think they can get away with this? It is like trying to steal in front of a cop.
And the sad thing is that EVERYONE should know that the SEC and FINRA is watching. They STOPPED the last reverse split and then the attempt to do the backdoor reverse with the move to California. WE KNOW THEY DID THIS. So why would anyone think that you could come here and post outright lies and get away with it????
If you have any shares you can play this hype. Anyone who knows anything about this company knows that the company is done. Hell, some of the company officials are having to sell their homes! But I suspect that some of the finance people are trying their best to get something from their worthless shares.
But you might be able to trade the hype. I won't because I don't own any shares. But if someone does, they might be able to get something for them if the hype continues.
But it won't last . Sooner or later the SEC is going to shut this down. And anyone who is stuck with shares will lose it all.
If Pfizer, or any other drug company for that matter, wants to own these drugs they do not have to deal with Ray or anyone else who was connected to the company in the past. All they have to do is contact the Court and tell them they want to bid on the drugs. They will be able to buy them from the Court for a few hundred thousand dollars.
The other thing I have suggested to people who want to confirm what is happening with the drugs is to check on the trials that were underway. If things were moving forward the trials should be still on-going. You see how that suggestion worked out.
Hey Gary, what don't these people understand?
Item 8.01 Other Events.
On August 2, 2012, Genta Incorporated (the “Company), intends to file a voluntary petition for relief under Chapter 7 of the United States Bankruptcy Code (the “Code”) in the United States Bankruptcy Court for the District of Delaware (the “Filing”). Upon the Filing, a Chapter 7 trustee will assume control of the Company and the assets of the Company will be liquidated in accordance with Chapter 7 of the Code.
Further information will be provided following the Filing.
Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
Upon the Filing, the officers will be terminated, and the directors will resign effective immediately upon the Filing.
The Chinese are coming and FDA will finally approve these drugs soon.
Who says it is trading? It could just be the MM moving shares between themselves or the finance people covering shorts from when they sold shares into the pumps.
I agree it would be stupid for someone to buy now. That is why I don't think anyone is. Look at the dollar value of the trades. It is nothing to get too excited about.
As for why they would allow it to trade, they can't stop it for now. As long as it is still a paper company, it is out there. They will at some point step in and halt trading.
If you really want to do some research and figure out what is going on, try to find out what happened to the trials. Are they still going forward or have they been halted? Right now that is what REALLY matters.
My bet is someone comes in and buys the rights to the drug for a few million. That is all this was ever worth anyway. But watch who it is to be sure the current clowns are not part of the buying group. If they are just sit back and watch for the next pump to start. That is the only way to make money off this, and it always has been. Just play along with them and make what you can.
If anyone got burned here and lives in Jersey, you might consider calling the NJ Attorney General's office and filing a complaint. You just might help put a few people in jail, including a few hypers who helped keep this afloat for so long...
This company did NOT have ACTUAL profits. If you read (and understand) the SEC documents you would know that the "Profits" shown in the reports are nothing but the REQUIRED method for accounting for the conversion of the notes.
They are broke.
The creditors will get the assets, if any can be found.
Man I love a day when we are up 160%...oh wait...never mind....
Nobody is buying. It is just market makers and specialists move shares around.
Fools game. This one is in control of the courts. Only question I have is will the court give the drugs to the very same people who fooled so many for so long.
Someone put it back up. Ok, who paid the $29.95 for this month. Is that you Carl?
If you look at the at debtor list you might get a clue what the new name or owner of the drugs will be. They listed the officers as creditors, and a few different names with the address being the same as the officers. And don't forget the off-shore companies that filed a few months ago. (On a funny note, a couple of those address are For Sale, one house listed at $8MM. Nice to see where your money went...)
My bet is they had this planned all along, just in case the regulators tried to stop the move it Cali.
Let's hope the judge sees through this and refuses to let them take control of the company through the process. It would really be shitty to see them end up owning it all after having screwed the shareholders and creditors for so long.
I don't think anyone is buying.
I think what you are seeing is the conversion of shares by the finance people passing through brokers. They are converting to cover shares that they shorted in the past and they are now trying to cover those shorts.
This is dead.
If anyone finds out when they will auction off the assets, let me know. This might be a chance to pick up the drugs cheap.
Carl, you are assuming that the drug was there to start with. Are you sure?
Genta has been through this before. Here are links that might help you find an attorney:
http://www.thefreelibrary.com/Cohen,+Milstein,+Hausfeld+%26+Toll,+P.L.L.C.+Announces+Lawsuit+Filed+on...-a0116230164
http://www.phillipsandcohen.com/ (Look at their bio)
http://www.accessmylibrary.com/coms2/summary_0286-21351298_ITM
Man, where do I start!
Beware of anyone who tells you to buy this stock. It is dead.
Carl said-
It starts off by saying "intendeds" Why not "HAS"? You know no others place is the new's found but on this board. This DIDN'T GO A cross the new's wire.? They needed the price low too get all the bond holders shares in!!!! A Billion shares? GO $GNTA MAYBE $GNTA NO $GNTA.!!!! ROCK ON!!!$$$$$
SAVE GNTA! Buy more shares!!! Sounds crazy, perhaps, but doesn't this company need money?
#1-You can call the SEC and ask for a supervisor. You will get through and you can do a complaint (formal) right over the phone.
#2-This thing might not be dead yet. There is so much legal going on over here.
#3-Can anyone verify all the BS from the last press releases, if any of it is true?
Anyone who thinks they can make money now is a fool. I'm sure they will sell you some shares and take your money, but just try to sell them.
Brad, the float is about 6 Billion, before this week.
These are not trades. It is the either the finance people converting, or them covering shorts with shares they already converted.
Remember who the finance people are. They will own the company very soon. Then they will start again with another shell and do this all again.
FINRA has grown a set of balls. About time.
As they planned all along...
its that true bondholders took shares of gnta
People be careful here. This is nothing but a pump and dump trying to get the price up before the reverse split that is coming.
But here is the question you should ask (two actually)- Who is buying this many shares and where are they coming from?
The answers are telling the story. The only people controlling that many shares are the finance people. They own $38.5 million in debt (before today) that is convertible into 38.5 BILLION shares. Now you see where the volume is coming from?
My guess is that there is no real buying. What you are seeing is the cross of shares as the finance people convert their debt to shares in front of the reverse split, which the company has said will be as big as 1:25,000. It is being done in such a way that it appears to be volume. They had to move the price above the conversion price (0.001) to allow the transactions to look profitable.
This same thing happened during the last run. We will be able to prove it when they file the next 8K listing how many shares are outstanding. The last time we saw this run like this, the outstanding JUMPED almost 90% of the shares traded during the run up. Then it settled right back down.
Now, if you were able to get shares in the 0.0005 to 0.0007 range, then you could have traded this today and made a little money.
But if you have read the SEC documents you know what is coming- An approved re-incorporation from Delaware to California and one of the biggest reverse splits I've ever seen.
And now we have word that they are pumping the stock in paid newsletters.
Jail will be too good for these people.
Stay tuned. The only question is how long can they wait before the re-incorporation takes place and the reverse split is effective.
NOT APPROVED.
Approved to stat yet another trial.
They did file something today...
30-Jul-2012
Other Events
Item 8.01 Other Events.
On July 30, 2012, Genta Incorporated (the "Company") announced that it has received formal notice from the drug regulatory authority of the People's Republic of China (SFDA) that the Company has received approval to start clinical trials with tesetaxel, its lead clinical compound, in China.
SFDA has requested and approved a dose-ranging study of the combination of capecitabine plus tesetaxel, up to and including the dose used in a pivotal randomized trial (known as TESEGAST), as well as subsequent participation by China in the TESEGAST study. The TESEGAST study is designed to evaluate the safety and activity of tesetaxel plus capecitabine compared with capecitabine plus placebo in patients with advanced gastric cancer. Gastric cancer is the second most common tumor type in China.
if they do a 25000/1 rs, what will the number of total authorised and shares outstanding be
Oops! I almost forgot, Bancruptcy would allow Genta to leave shareholders with NOTHING, while the noteholders (Ray among them) could take control of the whole company and own it 100 percent.
Well, while I expected a SEC release today after the market closed, this is not what I expected.
More bad news and signs of bad management:
Item 4.02 Non-Reliance on Previously Issued Financial Statements or a Related Audit Report or Completed Interim Review
Genta Incorporated, (the “Company”) has determined that for the three-month period ended March 31, 2012, the Company’s financial statements included in Form 10-Q filed with the Securities and Exchange Commission on May 14, 2012 will need to be restated for the item described below and therefore should not be relied upon. The Company will file an amended 10-Q for such period as soon as practicable.
On July 24, 2012, during their review of interim financial statements for the three and six months ended June 30, 2012, the Company’s independent registered public accounting firm informed the Company’s principal financial and accounting officer of a potential misstatement in the Company’s financial statements for the three-month period ending March 31, 2012. After consultation with the Company’s independent registered public accounting firm, the Company’s principal financial and accounting officer and its Audit Committee concluded that the Company’s unaudited financial statements filed for the three-month period ended March 31, 2012 contained a material misstatement pertaining to the Company’s calculation of a warrant liability and a resulting non-cash charge to its statement of operations.
Well, they could do a smaller r/s. Consider the deal at 1:2,500. The numbers change, by a factor or 10. But it still comes down to how they set the conversion price.
Or if they go all the way (1:25,000) just buy fewer shares.
The problem here is the conversion price. Look at CVM, a biotech company with a drug in PIII, but still a ways out from approval. They just did a deal for more money.
The stock was about 0.42 when the announcement came out. The deal was set at 0.35. Well guess where the price is today, a month after the deal was announced? It is in the 0.35 range. The deal was done at about a 17-18% discount to the the stock price.
The price drops to the deal price, but as soon as they make the next press release about their trials, it will go back up. Just watch.
The same could happen here to.
But if they get greedy here and set the conversion too low, this will get killed.
They have a chance to get this right, let's just see what they do.
At last count, from the SEC documents filed in the past couple months:
Outstanding- about 6,000,000,000 shares
Debt that needs to be converted- $38.5 million
Current conversion rate- 0.001
Number of share converted would be- 38,500,000,000
Fully diluted: 44,500,000,000
Total Authorized- 100 billion
But here is where it gets interesting.
So post split, assuming the 1:25,000, there would be:
Outstanding- about 240,000
Debt that needs to be converted- $38.5 million
Current conversion rate- $25
Number of share converted would be- 1,540,000
Fully diluted- 2,780,000
Total Authorized- 100 billion
The conversion rate is ABOVE the current price. If that stays the same, the price per share will be $15 and the conversion will be $25. They can't let that stay that way. They must change the conversion rate so that the finance people can convert BELOW the current price. So where will they set it?
Again, assuming everything is the same, if they set the conversion price at a reasonable return for the finance people, then this could survive. Say like this:
Outstanding- about 240,000
Debt that needs to be converted- $38.5 million
Current conversion rate- $10
Number of share converted would be- 3,800,000
Fully diluted- 4,040,000
Total Authorized- 100 billion
Now we are talking. Those numbers are not bad, if you ask me. Sure, you would still be looking at a lot of dilution, but EVERY developmental company looks like that. The price would drift toward the conversion price, but new investors could sit back and wait for that to happen. They can pump the story while it is happening, and my guess is that they would have a lot converted before they need money again. Then do all the deals in the future at a 70-90% discount to the stock price.
That is how you turn this into a REAL company.
We just have to wait to see if they try to keep scamming or come into the world of investing.
Their choice.
Can't wait to see how the hypers spin this as positive.
What really matters now is when they announce the reverse split. The key will be where they set the conversion price. If they go all out with the reverse, and set it at 1:25,000 the price will be $15, if the price stays the same.
If they set the conversion at anything below $10, this is doomed.
However, with those numbers I would be comfortable playing it for a trade.
We shall see. But my bet is they set the conversion 90% below the price. So remember, where ever they set the conversion price, that is the new floor. At 90% the conversion would be set at $1.5. So your $15 share, post reverse split, will drift toward the conversion price.
The choice they have RIGHT NOW in front of them is this- Do they want to look like a real company or just a sham?
Wall Street will be watching. Do the right thing and be rewarded or keep up the scam? Which will it be?
Share vote is in.
All items approved, including the change to California.
Now all they have to do is announce the terms and one morning you will wake up with a lot less shares that are worth a lot more.
Short the crap out of it.
I would assume they are required by law to report the results of the meeting in a timely manner.
Of course we are talking about Genta here, so a few words that they may not comprehend:
required
law
report
results
meeting
timely
But my guess is that you we see a r/s announcement VERY soon, and then the death spiral will start...again.
Always thought that it was funny that the meeting was held in a Cafe. Google search reveals nothing for the name Days' Cafe. Having worked in a lot of office buildings over the years, I can just imagine what it looks like. Can you reserve all three tables?
OK Carl, you tell me what this means:
From the SEC filing:
In June 2012, the Board of Directors adopted a resolution to submit this proposal to reincorporate the Company from Delaware to California (the “Reincorporation”), subject to stockholder approval. The following summary describes the principal reasons for this proposal, provides a brief comparison of rights as a stockholder in a California and Delaware corporation and describes the mechanics for how the change of domicile would be accomplished if approved.
Background
The Company was incorporated in Delaware in 1988. Although Delaware has historically been the preferred state of incorporation for publicly traded companies because Delaware’s corporate laws are flexible, highly developed and well understood, California provides similar protections under the California General Corporation Law. The Board has considered that the Company’s corporate domicile be changed from Delaware to California primarily because the Reincorporation will result in annual cost savings to the Company of approximately $180,000 with respect to the payment of annual franchise tax fees that are currently paid to the State of Delaware.
Summary Comparison of Rights
In forming the proposed new California corporation (“Genta California”), the Board has generally sought to keep the existing material rights of stockholders in the Delaware corporation (“Genta Delaware”) intact to the extent possible. Where the Board has approved a change in the rights for Genta California, the California rights have been created in a way that is considered to be consistent with rights for a newly public California corporation.
To complete the Reincorporation, Genta Delaware will merge with and into Genta California, with Genta Delaware disappearing and Genta California continuing as the surviving entity. If the Reincorporation is approved and implemented, upon effectiveness of the Reincorporation, depending on the exchange ratio selected by the Board, up to 25,000 outstanding shares of Genta Delaware common stock will automatically be exchanged for one share of Genta California common stock and each outstanding share of Genta Delaware preferred stock will automatically be exchanged for one share of Genta California preferred stock. Depending on the exchange ratio, each restricted stock unit to purchase up to 25,000 shares of Genta Delaware common stock will also be exchanged for an option to purchase one share of Genta California common stock. Genta Delaware’s other employee benefit arrangements will be continued by Genta California upon the terms and subject to the conditions then in effect.
1:25,000 reverse split coming in a couple days and hypers are posting months old news.
Too funny.
Only limit to the cash is their ability to suck new investors in.
She is hyping the stock.
The tactic she is using is just as I described- using a legitimate news article, that has nothing to do with this company, and implying that somehow it does.
If you read any article on HOW TO HYPE A STOCK you will find this listed as a useful method.
I posted information on how to value this stock, not an opinion based upon something that has nothing to do with GNTA. I replied to her post by offering a legitimate method to put a value on this stock, and others.
By your standard (and her's) if I decided to start a car company, sold a few billion shares to get it started; never sold a single car; I could then start pointing to articles about Ford and GM to show how successful my business "could" be. Really?
GNTA is a developmental biotech company. The companies in the article she posted are established productive companies. They have real revenue (in one case over a billion a year) and good shares structures. There is no comparison.