Avid Bioservices Inc (CDMO)

[exwannabe]

Why would any shareholder want to block #3? If, as it seems, there is already a deal behind it with another entity (otherwise please explain how #3 is going to pass)...

1) As is, the vote will pass for the simple reason that the vote would be routine. Thus, unless those 100M worth of retail voters that do not return proxy cards suddenly become active and vote no, the broker votes yes (the company supported position) for them.

2) There is no deal. First off, such a deal must be disclosed as the planned use of the shares. Failure to do such would be a very serious SEC violation. Second, if and when such a deal is ready to go, it must be voted on. And that vote can include the additional share authorization as needed. So there is no need at all to get authorization in advance.

The purpose of this vote now is simple. They want to get the issue past shareholders while they can. They only need a fraction of the increase to fund the next 2 years, but do not want to possibly needing another vote later.