AEterna Zentaris Inc. (AEZS)

[skitahoe]

I'd say you're correct. While $40 million sounds like a lot of money, when it comes to running drug trials, it's not.

I only hope they're right about being able to do this dilution and still get back over $1 before the Nasdaq deadline for doing so. If not, we'll be hearing about another reverse split, and it will be far worse than the dilution itself.

Frankly, I never like Warrants. Some institutional investors will buy the stock to get the warrants, then sell the stock essentially for what they paid, owning the warrants for free. The warrants are generally priced well above the stock, but if the company's successful, they'll profit nicely, if not, it's cost them nothing, or nearly nothing.

I'm uncertain if it can be done, but if buyers of the offering could not sell the stock for a certain period of time, say one to five year, the Institutions would lose at least some of the advantage they get that is individual investors, we can't.

Gary