Avid Bioservices Inc (CDMO)

[EZLibra]

Terry, Jake, KT, Katie, Billy, et al.

I think half the short is part of an acquisition strategy. It's not unusual - the short position would like a quiet cover, kind of like what is happening now with small retail dumping. They have the noise (low life traders) but need more volume. There is some risk for them here.

The other half of the short could be shorts put on by the warrant holders who exercised the five million shares. They would now be 'short against the box'. Although in a 'wash' position they technically could be receiving interest on their short position. They are in the catbird seat, able to sell large positions to shorts or longs in need of size (a short can be sold as readily as a long). Wall Street calls this position 'riskless'.

Whatever the case for the ten million short is I think that the trader shorts have taken their best shot. Further down would surprise me.