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Only bad thing about capital from China is that it's never enough, and you need more a short time later.
carrolu: So what you're telling me is, investors are always right, businesses never fail, and the early round investors are happy with the current 0.25 cent SP.
Long: Once again, there is a tendency to search for and overweight evidence that supports a bullish position. I bet there isn't one person on this board, (including myself) who would have imagined we would see $0.25 in CYRX, ever again. And I am sure there is not one person on this board, (including myself) who would ever imagine we could see $0.01 or less. But it could happen. Just like there was an unforeseen set of circumstances, that led to the stock trading back down to 25 cents, there could be another unforeseen event(s),that would cause the stock to break down to a penny. Like flaflyersfan(FFF) said, I've seen it happen plenty of times. The company is not infallible, just because we are long their stock and we believe in them. The ego is a particularly strong component of the human mind and we are naturally prone to certain egocentric tendencies. They cause us to have a selective memory, a distorted point of view, or make it difficult to admit we are wrong. FFF is actually leaving his ego at the door, and seriously questioning if he is wrong, and if he should take his loss and get out.
There's really no way to know, for sure, and that is why there is such a large risk discount built into the SP. Therefore, I don't think you are giving FFF enough credit, because he brings up a very valid point. This company may or might not make it...once again its not a layup. Please wake up; the reality is Cryoport is a $0.25 stock, and the company just lost 75% of its value in a month. There may or may not be enough money for them to make it, and there are no guarantees that they will be able to raise money, if and when they need it again. And then there are a myriad of other risks that have not yet come into play.
Sure, averaging down can work. If you are in a strong trending market, and you want to add on a pull-back. Or if you have Warren Buffet capital, and a Warren Buffet time-frame. But for the average trader or investor, its very dangerous. Even if the probability of working was 50-50, (which it is not) it would not be worth doing. The times it would work, you would probably break even or make a small profit, but the times it didn't work, you would have turned a manageable loss into an extremely large loss, perhaps a game ending loss. That's a very bad risk to reward ratio, and a trade with a very low probability of success. Contrary to what you stated, the really successful hedge fund traders, add to their winners, not their losers. They press when they right the market, not wrong the market, i.e., George Soros, John Paulson, James Melcher, Paul Tudor Jones, Louis Bacon, etc.
The company isn't even capitalized yet, nevertheless well capitalized. No matter what happens or what circumstances arise, you are always going to be able to find something to be "glad" about. You might as well be working along side Stuart Fine, because your optimism and bias is excessive to the point of being public relations spin. You are in denial and are refusing to accept the facts of an unfortunate situation.
dwarus: Just yanking your chain, buddy!
In all seriousness...When you enter into an investment,(or a trade) you should be more concerned about how much money you could lose, instead of how much money you are gong to make and how you are going to spend it. Control your risk, control your emotions, and you'll be profitable.
You're dreaming. I'm not saying Cryoport won't make it, but it's definitely going to be an uphill battle now. It's going to take years and years to build and grow the business. You are crazy to think otherwise.
Chudd: BTW, Kevin Bacon did get paddled, again. He had his life savings invested with Madoff.
walrus: I doubt you're equipped to spar with me...either verbally or physically.
...what are you going to do? Bleed on me?
walrus&dude: It is part of Rodman's role as the underwriter to make a market in CYRXD, and to peg the price of the issue by buying in the open market, if necessary. It acts as a stabilizing bid until the new issue sells out.
Polly...you are too much. "Fantasy Island" has been canceled. We're watching "Survivor". This company is operating on a shoestring budget now...nothing worse than being under capitalized, except for poor or dishonest management.
You remind me of the Black Knight in "Monty Python and the Holy Grail", after he got both his arms and legs severed by King Arthur..." O.K., we'll call it a draw"
CEO: Exactly...plenty of time. Don't think you have to worry about missing the market on this one, anymore.
gibson: Yeah, It's always the darkest before the dawn. But also, its always the darkest before the lights go out...completely.
jcoukr: Maybe yes...maybe no. Could be cash flow positive in 4 months or 4 years, or maybe never. You just don't know.
jcoukr: That is the worst reason in the world and one of the most common mistakes that people make. Why would you add to a position when you are wrong? It makes much more sense to add to a position, when you are correct, doesn't it ?
jcoukr: Here's a tip that will save you money and make you money. Add to you winners...not your losers.
Only losers...add to their losers.
CEO: I hear you, but if that's where the money is flowing, that's where the money is flowing. My P&L doesn't discriminate. But you can't over stay your welcome...you need to know when to get out, of course.
CEO: Thanks, I'll check it out. SRGL is putting on a show considering what the broader market is doing. Pretty impressive relative strength...breaking higher into next week, methinks.
CEO:
SRGL's volume should increase over the next few days into next week...over-bought for now, but I'm looking too add to my position on any weakness. $1.32 target!
green: I'll check it out. Let me know if you need capital. I have access to a new green fund that is in the process of being funded. The CIO is Russell Read, former CIO of CalPERS and his partner is John Preston of MIT.
flaflyersfan:
Remember the Golden Rule: “He who has the gold rules.”
Larry did what he had to do, to salvage the offering. I'm sure if he was presented with a viable alternative, he would have exercised it. This is going to be a smaller offering than hoped for or anticipated, but Larry can always go to the market again when Cryoport's valuation is higher and the market is more receptive.
In my post #2608 on 04/22/2009 in reference to raising capital, I stated,>> $2.5-5M sounds about right. I think $16M would be out of the question, based on the company's market cap at the time of the financing. It appears that if there was a financing taking place currently, it would be down round, which would require some form of compensation to Roswell. It might not result in the debt being paid down, however, but in some other adjustment that might make them whole.<<
This is more in line with what I thought could be executed. Larry should be commended not eviscerated, for his efforts. He had his back firmly to the wall, during the whole process, yet he almost pulled off the impossible.
Larry: Yes
CEO:Don't know if they are going to have the market cap necessary for NASDAQ now.
jcoukr,dude: On the road...I'll give you my take when I get back.
Looking to hold it through next week...minimum.
CEO: I'm buying SRGL...
Dude: I didn't say Cryoport got a better deal...CEO did. I said, apparently a large investor exerted his influence to negotiate better terms and a better price...for the investor.
cj: Pre-recession, they were talking about some astronomical valuations for Bloom's eventual IPO. Times have changed, but it should still be very interesting, and perhaps record setting.
Just need the notice of effectiveness now! Looks like a large investor negotiated better terms and a better price.
CEO: My feeling is they will take another shot at running it up...usually done in tranches.
ceo: Can't argue with you there, but it's a problem that's quite common when dealing with start-ups, regardless of economic conditions...that's one of the reasons they are very speculative investments!!!
CEO... love Tesla, have met and admire Elon Musk. But I venture to guess there's room for more than one PHEV manufacturer in the marketplace. FISKER...great product, experienced management, most important...good valuation. Bloom?...will be a name as well known as Google or Coke.
Bro:
There are quite a few articles on the internet pertaining to Bloom. If you are referring to a PPM/Term Sheet, the offering has been completed, and I don't have any of the old copies.
I am also involved with FISKER AUTOMOTIVE who is attempting set the standard for the luxury plug-in hybrid electric vehicle (PHEV) market. $100MM raise, so there's plenty of room new money.
Bloom Energy...I helped raise capital for this company in a (stealth) private offering, through my affiliation with a boutique investment bank in Chicago, that specializes in private, late-stage equity finance for the U.S. technology sector.
Bloom has the very real potential to be a category killer, much in the same way Google was with the search engine space. It could also, be the largest IPO in history, when they decide to go public.
Lesley Stahl and "60 Minutes" cameras get the first look inside the secretive California company, just days before the Bloom Energy official launch, scheduled for next Wednesday (Feb. 24). Stahl's report will be broadcast this Sunday, Feb. 21, at 7:00pm ET/PT.
http://www.businessweek.com/globalbiz/content/dec2009/gb2009127_746740.htm
I for one, will sleep better tonight!
cj777: The share price in the open market isn't going to determine the price of the offering...the price of the offering will determine the share price in the open market.
Just think of it as someone who is selling their business. The seller is trying to get as high a price (valuation) as possible, and the buyer is trying to get as cheap a price as possible. The buyer has a price in mind that he would like to receive for the business, and the seller has a price in mind, that he is willing to pay for the business. Sometimes they are far apart ,and sometimes they are relatively close, but in either case, there is a range that is certainly quantifiable.
Cryoport and R&R determined the price range they would like to get the deal done at, soon after they entered into discussions. They pitched the deal to various investors, and were probably not that far apart, from what the investors required to do the deal. The price of the offering, which can't be announced till the S1 is declared effective, was probably agreed on, or came very close to being agreed on.
Something obviously happened to change the investor(s) mind however, causing him to re-evaluate the deal and the valuation he had calculated to be low enough to compensate him for the risk he was incurring.
IMO, the deal will most likely get done, but at a lower valuation. The price will not be determined by the vagaries of the market however, but by negotiations between issuer/underwriter and investor. They will then price the stock in the open market accordingly.
People need to relax...it's a setback, and probably not a deal breaker. When you let your emotions get the best of you, is when you make poor decisions. Wait till you have more information, before you take any actions. Larry is still in the quiet period, so he cannot comment on what's happening.
The Cryoport story, hasn't changed...it is essentially the same. However investors' perception of the associated risk(s) has changed. It's no longer a fairy tale...it's reality TV.
Stiill ROF...you signed it, Polly.
Stella, you're my good bud, (bro-hug-double-back-tap-combo) but there are times methinks your optimism borders on naivete. I am sorry but I am going to have to change your name to Pollyanna...it is far more appropriate