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@PayMEmf - Hey I thought they used a 1.21 GigaWatt flux capacitor in a DeLorean one time ...
OK - So, if that's true, why the deafening silence from management?
I knew the shorts were going to take this down hard, but even with that said, I am a bit surprised at how aggressively it's being taken down. I thought there was supposed to be a short sale restriction circuit-breaker (unless that's not true for the OTC markets - It was in effect when DCTH traded on NASDAQ). Pretty sad we don't even see a feeble attempt by management to issue a PR and try to stabilize things a bit. But, on the other hand, why should they? It's quite clear that they're not too concerned about the effects their toxic financing schemes have had on share price all along. My big mistake was not selling when it hit the .30 range. Live and learn. A speculative gamble that didn't pay off. At least I didn't put in more than I could afford to lose! GLTA.
So, now everyone sees why we didn't want a R/S. Just as I thought, shorts are tearing this down big time. IMHO, it doesn't matter at this point what kind of PR comes out. Put a fork in it!
@gorgol - Sorry to hear that you were in the hospital. We missed you while you were out. May God bless you with a full and speedy recovery.
@colorfullife88200 - I understand that. I was simply trying to explain to mike007 how an R/S actually works because the calculations he posted show that he doesn't understand it. The R/S itself is value-neutral, but I fully realize that the post-R/S share price will be taken down again by shorts. That's why I was not in favor of an R/S.
No. That's not how it works. When a R/S occurs, the # of shares you own (in your case, 100,000) is divided by the ratio, and the share price is multiplied by the same ratio. After the transaction your total dollar value is supposed to be the same as it was prior to the split. So in your case, that would be 286 shares X 12.25 = $3503.50
Check your math. If you have 100K shares at 0.035 pre-split, you would end up with 285.714 shares at $12.25. Since they are supposedly going to round up fractional shares, you would actually end up with 286 shares.
IDK why they haven't filed the form 25 yet, but I do know there is no way they can relist on NASDAQ CM without the SP at $1 or above. That's certainly not going to happen on its own. Even with some major good news, it would be unlikely to climb much past the 0.36 peak we saw recently, IMHO. So if they really do plan to relist, a R/S is very much in the cards. The best-case scenario is that they announce the R/S along with some significant news to prop it up post-split. However, given their recent history, that's probably a long-shot. TWT. GLTA
@LQMTHopeful - Interesting thought. Here's another possible twist: Tesla makes the capital investment in new equipment to be installed in their plant, but contracts with LQMT to operate the equipment and train Tesla employees.
Accumulated some more shares today at 0.38. Holding long and strong!
Well, according to many of his previous posts, all of this stuff should be a moot point, because he kept telling us the co. was going to be in bankruptcy court before the end of September.
@H2004. Timing will be critical, though. Once the RS goes through, shorts are going to take it down aggressively. If there is no PR, they will do irreparable damage to the SP such that even a positive PR will not allow it to recover, IMHO.
OK. So you actually think the outcome would have been different if the R/S had passed? They asked us to essentially vote to dilute our shares -- and couldn't even narrow the ratio down to a single number. They had already done it twice previously, so why would anyone believe that "this time is different". No one could have anticipated the sleaze move that Simpson and the BOD pulled with the preferred stock just to implement the RS by circumventing shareholder approval. The whole reason shareholders voted this down in July (and again in September) is that they wanted the BOD to seek other alternatives to the toxic financing they have been using, or to more aggressively seek a partnership. Not to mention other cost-cutting measures (say for example reducing the exorbitant salaries of Simpson and the CFO) that could have been taken in good faith to show shareholders that the management was willing to "share in the pain" they were going to cause by yet another RS. Of course, given the fact that most of them hold less shares in their own company than do many of the investors on this board, they weren't going to feel much pain from an RS.
Honestly, the vote results were more a no-confidence vote on the management team than anything else, IMHO.
@The_BORG - that would be nice, but I think it's going to be a stretch unless we see an uptick in volume. At this point, I'm hoping to be able to exit prior to RS, because I don't see things improving once that happens. As soon as the RS goes through, the shorts are going to pound this thing back into oblivion.
I doubt you will see any kind of a positive PR from this management team prior to the RS. I think they want to drive it down so they can maximize the RS ratio, enabling them to issue as many new shares as possible.
We can only hope for a quick pre-RS spike because, short of a BO or some significant FDA-related news, I don't see any good reason for the SP to move up post-RS.
@axiomreality - Thanks for the post on the OH. Nice work!
17,000 shares at an average cost of around 0.23. May add some more to get to around 20K.
@Crispy - Great post and nice summary! Thanks for sharing it with us.
So, if they are doing production runs as they have said, that would suggest that there should be some Q3 revenue to report. That would also fit with what Li said earlier this year. I am still quite bullish on this company long term and have no plans to exit my position any time soon. Possible we could see some selling the next few days by some of those who were looking for a pop during / after the OH, but if so, it seems like it should still hold above 0.30 to 0.32 as I recall there seems to be some fairly strong support at that level. That could be a good opportunity to add for those of us in the longer-term camp. One of the other things I'm waiting to see is if this starts getting followed again by any analysts. I would expect that to happen once they start reporting improving earnings numbers.
LOL - I'm still here. Holding just a small bag though.
So all the stuff about "not being able to issue new shares because they were at the authorized shares limit" the BOD said in the requests for an R/S approval was complete BS.
Either they always had the option to issue a separate share class (as they just did), or they somehow violated the rules by issuing new shares in excess of the authorized limit.
Uh, poincianamike... According to your previous posts, DCTH was supposed to be filing BK on "Friday". Is that tomorrow, or now are we moving to a less definitive target date of "...when they run out of options"? So, maybe it will be on a Friday sometime in the future?
That $16.00 is a really old number that was prior to two rounds of dilution that happened as a result of previous R/S's and toxic financing. I don't have anything formal to base my number on (other than the value of the patents and the fact that some of the big pharma companies have not had the success that DCTH has had WRT targeted treatment of certain types of cancers), but I would guess that with ~500M shares outstanding, a BO anywhere in the range of 0.50 / share to 1.25 / share is not impossible. Again, just speculation on my part...
Share price walkdown would also make it a lot more attractive for insiders to load up before a M/A. Maybe the BOD will suddenly end up with a larger stake than they've had all along? Although, if there was insider buying, I think we would have to start seeing some Form 4's filed pretty soon. I have not seen any yet.
So, I do find it interesting that they accelerated the process of delisting from NASDAQ, especially since one of the reasons they tried to use to persuade us to vote yes on the R/S was "trading in the OTC markets will make it more difficult for the company to raise capital...." They also implied that trading might be more thin (but given that we saw nearly 40M shares being traded today, that's not too bad for the first day in OTC).
It would seem that something made them change their mind rather quickly about the OTC market. I wonder what that was. BTW - I'm not implying anything nefarious here; I may have questioned their competence, but I'm not convinced they are deliberately trying to trash the stock.
IDK - The "unorganized" group of retail shareholders you refer to was able to garner enough votes to block the R/S - twice.
@Researchfyi - Good post! I agree completely. I have posted here previously that I think (just a guess) that Li may have plans to use the US facilities for prototyping of new designs and short-run production. It would be like an engineering design center with a business development arm that engages potential customers, provides design consultation and quickly turns around a set of pre-production parts for evaluation. Then, depending on the size of the order, full production is done either at RSM or Eontec.
Additionally, there will be R&D, of course, for developing new processes, which would also be done at the RSM facility. As far as revenue is concerned, that would come from design services and production orders.
@LQMTHopeful - RSI for the last 5 trading sessions has been over 70, so by that measure - Yes. However, after today, it will probably fall back below that. Regardless, stocks can and do sometimes enter an extended "overbought" state during accumulation phases as I think we are starting to see as of late.
No. The vote tabulation is done by a third party. I voted at www.proxyvote.com
Don't forget - Shorting is investing, too.
Yes. When I checked back at www.proxyvote.com and entered my control number, the webpage said Voting-Closed and it showed my 10,000 shares as NO votes.
Not True. The deadline is tonight at 11:59 PM. According to the material I read at www.proxyvote.com, where I voted. The voting instructions stated: "Please note that the telephone and internet voting turns off at 11:59 PM the night BEFORE the meeting or cutoff date"
The cutoff date is indeed September 7th at 5PM, but since most people vote by phone or internet, there is no way to do that after 11:59 PM tonight.
@Tekterra - The problem the BOD and Simpson have here is one of trust. They floated this carrot out there in the PR this morning and basically asked all the SH'ers to ignore what happened during the last 2 R/S and "Just trust us" this time. Yeaaaaaaahhhh, Right. They have no credibility whatsoever.
@andrew2475 Uh, you will lose money if it does happen. Massive dilution because shorts will take it down as soon as the R/S takes effect. Take a look at the chart and see what the last 2 R/S's accomplished. This is the death spiral of toxic financing and the BOD will be more than happy to dilute your shares if they can get the R/S.
@CarlCarlMcB - Timber?? Perhaps at some point, but the L2 quotes I'm looking at don't seem to be looking that way right now. Expect a nice gap-up at the open. Should be an interesting day...
Extension news could be today, but it all depends on when DCTH actually got the delist notice. According to NASDAQ rules, the company is required to publicly respond within four days of the delist notice. If the notice was received on the 14th, then we would reasonably expect to see an announcement today. However, if they didn't, or if they choose to disregard the rule (doesn't seem like they would), then we might not see a PR until first part of next week.
And all you shorties need to hope it doesn't stay up long enough for the margin calls to start coming in.
... But they need more than 250 million YES votes to pass the R/S. If they get 150 million+ from the tutes, they are still way short. @mintmoondog did a good analysis of this a while back. I forgot the post #, but maybe he can repost it.
I didn't say anything about an upcoming press conference. I'm not sure what you're trying to infer. I was simply trying to establish what level of credibility should be attributed to poincianmike's incessant posting of statements concerning impending bankruptcy of DCTH by comparing them to his previous post in July when he assured us all that the 7/16 R/S had passed.
The fact of the matter is that none of us KNOWS for sure if BK is in the cards, yet he posts as if it was a done deal. The ONE time he DID know for sure about an outcome (if he was at the meeting as he stated), he posted a demonstrably false statement about the R/S. Now, what was this about a press conference, and what does it have to do with what I just posted?