Anavex Life Sciences Corp (AVXL)

[XenaLives]

My objection was to this original statement, thanks for the confirmation:

F1ash Saturday, 04/22/17 12:12:33 PM
Re: frrol post# 102509
Post #
102513
of 102599 Go
Do you suppose Anavex wanted the Preferred as a component of a possible PIPE to reduce or eliminate LPC's Equity LIne of Credit agreement?



"In evaluating a PIPE transaction as a possible financing option and in considering a PIPE transaction versus other potential financing options, an issuer should generally consider the following:

? usually the issuer cannot issue more than 20% of its total shares outstanding at a discount in the PIPE transaction without shareholder approval and prior notification to exchanges (see “Does a PIPE transaction require any prior approvals from regulatory agencies or self- regulatory organizations?”) below;

? the purchaser (not the issuer) bears market risk;

? the transaction can close quickly, provided there is no SEC review;

? the format is familiar to sophisticated institutional investors;

? PIPEs typically involve a modest discount to market price;

? the SEC is comfortable with the PIPE format; and

? PIPEs do not have any of the negative effects associated with a “death spiral,” preferred stock offering, or an equity line of credit. See “What is a death spiral or toxic convert?” and “What is an equity line of credit?” below.

https://media2.mofo.com/documents/faqspipes.pdf

So the above incorrectly states that a PIPE would be a suitable replacement for Anavex's current agreement with LPC... but Missling as put an ATM in place which is more favorable than a PIPE.