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We can all only speculate, but since these type of deals do not occur overnight, it was more than likely known. But let's say it wasn't, then adjust the price accordingly, and it still should be 50% higher than where it currently is. Ah, but there's something missing. The big piece of the puzzle that's missing is the information in the BioMedReport where they "looked through their books" That's an unknown to us in the investing community. Analysts, etc. get peaks at that stuff, we have to wait for it. And we should be skeptical until we see it. But I'll bet that it's coming, because it would be awfully difficult for BMR or Goldman to backtrack on their statements and coverage if there isn't some meat behind it. Millions of people are watching and waiting. Patience, it will come.
Here's some reassurance. This a quote from Part 1 of the BioMedReports covarage of MCLN from December 1:
"As I mentioned in my alert to subscribers, this is a stock that just emerged from sub-penny levels, yet to some it may come as a shock that I continue to stand firmly behind my estimated short term value target of $.40 per share.
"You've lost all credibility," writes another.
Maybe so, but those of us who carefully researched this company, spoke to their management group at length and looked carefully through their books and track record still feel not only bullish about this company, but extremely so."
Notice the wording in red. To me, that's all you should need to be reassured. They've looked through their books and have been able to place a value on the company. To me, the rest of the charts, the discussions, the filings are all noise. Be encouraged, at some point the news will roll out justifying a higher PPS.
I just posted something along these lines. The only thing I can think to myself is that Goldman as well as BMR had a peak at their books and see what's going on. For us out here in the investing trenches, it's brutal...
I think he must have know and did indeed take it into account. The missing piece of the puzzle is the actual contract work that is and will flow from this investment...
How can this ever move up short term to .14? The O/S is now near 1 billion. I'm fine with appropriate dilution, but this is painful. At least the company could publish a PR reassuring investors that they are/will be using the additional capital for revenue generation. I fear that the silence on that front will wreak havoc on the share price. How long can the .03s hang? I know one thing, I'm not selling, but I'm puzzled at how this is unfolding. And I know on PR of a large contract will change everything, so that's what I'm holding out hope for.
Actually, just checked in and catching up with the drama. It is a great post. Thanks for sharing with the rest of us. Posts like yours continue to solidify my decision in my investment here.
Wow, I've been up almost $3,000 and down almost $1,000 in a 24 hour period. Glad I don't hover around L2, I'd be dead. Anyone else enjoying the wild swings?
Could the Form T trades explain some of the volatility we've been seeing? Could it be that the exercising of warrants is taking place by using Form T trades, and that the MMs have to somehow collect that amount of shares throughout the day to execute the Form T trade that will occur at the end of the trading day? Otherwise where do the shares for the Form T trades come from? I know it could be the MMs settling their books. But we know warrants have been/are being exercised, so is this plausible? And would this explain why the violent up and down swings we're seeing is in order for the MMs to gather up shares to accommodate the upcoming Form T trade? Thanks in advance...
Doesn't seem like whatever it is has increased the OS since the POS AM filed on 12-8-09. But it may increase the OS tomorrow, one never knows. Someone with experience understanding these forms please weigh in.
At a quick look, it seems to have the same amount of outstanding shares as the POS AM dated December 8, 2009. So I'm not sure whether it is additional dilution or not. Can't tell why they filed it honestly.
New POS AM filed today. Has this been mentioned aleady? It's in addition to the POS AM filed yesterday. Thoughts?
http://www.pinksheets.com/edgar/GetFilingHtml?FilingID=6932945
Also, you might want to check yesterday's filing for outstanding share count. You must have been so hoodwinked in the past that you can't trust anyone or anything. I don't blame you, I've been shafted too. But I know a gem when I see one. Hopefully this dialogue helps you see the forest for the trees.
TA not gagged. I received an email from him. Here's the link to the screenshot. Thanks for trying though, and have a nice day!
http://s809.photobucket.com/albums/zz12/jshook16/?action=view¤t=Picture1.jpg
True, I agree. But the fact is we have SEC filings for a transparent penny company explaining the recent influx of shares. We have definitive statements from filings that the company will need working capital to drive more revenue. We have the possibility of large contracts hanging out there. This is definitely not your typical penny dilution machine, and you can't deny that. There are no paid promotional web sites "picking MCLN" in return for equities. You may be able to argue BioMed was paid, but there has been ZERO disclosure of that -- unless of course you or anyone else can link it.
Lastly, to the NSS situation, it's a fact it's on the REG SHO list and is an imminent buy in. So putting all those together, it's not an excuse but rather a fact that has to be put into consideration of all the rest of the facts.
REG SHO may be the reason there's a temporary lid on this thing. Everyone is talking about dilution, dilution, dilution. The GIANT elephant in the room right now is major positives are occurring with this company right now and there are massive naked short positions that need to be covered. Could this be the reason we're not running hard? Because we should be up nice right now, dilution aside.
If the selling is indeed done which would be the reason they had the filing yesterday, that coupled with the analyst coverage should steadily move this stock up.
Funny thing, the charts are saying one thing. But what's missing from the technical analysis is the reality of what is/has been occuring. Many are saying dilution, dilution, dilution when in fact that is a small part of it. What's happened over the past week has made the charts look as though there is negative downward pressure on them and that this stock is doomed to keep falling to find support. But that's only a part of the picture. While it is true there has been downward pressure, it hasn't been because sentiment in the company or the fundamentals have changed. We've learned through transparent filings that warrants were exercised and that more than likely has created massive, relentless downward pressure for the past week or so. That is a big difference that a chart won't tell you. So assuming heavy warrant exercise were to continue indefinitely, the charts will tell you right. But if the selling is indeed finished as I think most expect it is, then I think we can expect some instant relief. But also with all the nosense about REG SHO, etc., who knows what kind of games are being played by those who are financially vulnerable.
But this is pennyville and up can be down and black can be white. Good luck, I think we'll be fine over the next 30 days.
Thanks, just wanted to make sure.
Going concern language from latest filing... Anyone care to answer whether this is standard language or is this something that's been overlooked and we should be worried about? TIA...
NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
SEPTEMBER 30, 2009
NOTE 2 - GOING CONCERN MATTERS
The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates the realization of assets and satisfaction of liabilities and commitments in the normal course of business. The Company has incurred substantial recurring losses, which raises substantial doubt about its ability to continue as a going concern. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.
The Company has available cash and cash equivalents of approximately $249,225 at September 30, 2009 which it intends to utilize for working capital purposes and to continue developing its business. To supplement its cash resources, the Company has been pursuing a number of alternative financing arrangements with various investment entities. We are currently looking to secure additional working capital to provide the necessary funds for us to execute our business plan through various sources, including bank facilities, bridge loans and equity offerings. However, we continue to incur significant operating losses and the resultant reduction of our cash position. We cannot assure that we will be able to obtain additional funding, and the lack thereof would have a material adverse impact on our business. Moreover, any equity funding could be substantially dilutive to existing stockholders. The aforementioned factors raise substantial doubt about our ability to continue as a going concern. In the event the Company is unable to continue as a going concern it may pursue a number of different options, including, but not limited to, filing for protection under the federal bankruptcy code.
I don't believe it has yet. Bottom line is that since we know the company is diluting, and as many have pointed out that it is "good dilution" meant to drive revenue, then we should be due for some nice contract announcements in the upcoming weeks and months. The problem is if their dilution doesn't equate into revenue, then this becomes a major problem. That said, the company seems to be taking a calculated risk -- at least from our perspective. They are diluting in order to generate revenue. What we all don't see is what is pending behind the scenes.
It really comes down to do you trust this management team or not. Many here, including myself, have been burned by penny stocks diluting into oblivion with tons of empty promises. MCLN is a compelling company, but we all should be skeptical until the circumstances prove their claims. In my opinion, that's why MCLN won't have a major run until all this speculation is borne out by contract announcements. Too many people are rightly skeptical -- as well as we all should be.
I'm in it to win it though. These day to day swings are not changing my opinion. I've done my DD and can live with the results. I will stay long until circumstances prove otherwise. Nothing much to be concerned about here.
So they've diluted another 22.3 million shares since the close of business on December 2 - last Wednesday. What do you think of this in light of their comments in the BioMed article today about "no discussion" about dilution? Any thoughts where these 22.3 million shares came from?
Amigo & BlackThought:
Amigo, I contacted George J. @ STC last Wednesday, and he promptly replied to me. I posted the screen pic of the email he sent me. here's that link:
http://s809.photobucket.com/albums/zz12/jshook16/
Black, the number you're putting out today is about 23 million more than the number I got last Wednesday. When did you get your number? If it's after last Wednesday, December 2, they've diluted another 23 million shares since then -- in less than a week. What's your thoughts?
Abby, can you clarify this statement from your last post:
"Why and who paid $50,000.00 for Biomed publicity?"
I haven't seen anywhere where there has been payment for the Biomed report. Can you give a link or source? Thanks.
Thanks for the clarification, I missed that. Still, I don't trust Adam. He's been spot on with a few biotechs over the years, but his MO is to bash away without merit. He's been severly wrong on quite a few huge biotechs this year.
Can someone explain this in layman's terms? This is right from the press release just issued:
"The exercise price of such warrants will equal the closing bid price of the Company's common stock on the date the Company provides notice of such tranche."
Does this mean the company and the investor would benefit from a significantly higher stock price or does this have the opposite effect - that is, that the investor would benefit from the price being lower in anticipation of the stock trading much higher in years ahead? Or does it not matter? Thanks in advance.
He's not that credible. In fact, he fails to mention in his pseudo article that the company is not paying the penny pumping sites to tout MCLN. By not saying that, he's implying and somewhat misleading people to believing this company is paying penny pickers to pump their stock which they are not.
You've got to remember, Adam F. has a major beef with Bio Meds Reports and picks on anything they write positively on. His article has no merit, and no one should ever invest based on his advice.
Here is the email I sent to T/A (Transfer Agent STC Transfer) after reading Black's message. It is confirmed, Black was telling the truth. It looks as if 50 million new shares have hit the market as of today. the new O/S is 611,833,803. I'm long MCLN, and with all the momentum this company has, I don't think the new 50 million will matter much. But they'd better be done with the dilution.
If you think I'm a liar, I suggest you find Black's message and send an email address to the T/A as I did. It only took the guy 5 minutes to respond to me.
[url][/url][tag]<a href="http://s809.photobucket.com/albums/zz12/jshook16/?action=view¤t=Picture1.jpg" target="_blank"><img src="http://i809.photobucket.com/albums/zz12/jshook16/Picture1.jpg" border="0" alt="Email from MedClean Transfer Agent"></a>[/tag]
New to this board, have enjoyed the reading. Can someone explain the naked shorts on MCLN? I can't understand why there would be such high levels of naked shorting on a sub penny stock. I understand it's now well above a penny, but what would the motivation be for someone to naked short a sub penny. Isn't that potential financial Russian roulette?
Is there a story I'm missing here? Thanks for your explanations.