This is from post #2384
next 2 weeks should be very interesting here
July , 30 should be 30 days idxg closing below 1$ and is due notice from nasdaq about non compliance
also July , 30 is the date when option to buy additional 1,875,000 shares of common stock and/or common warrants to purchase 1,875,000 shares of common stock expires .
from June,16 prospectus :
"We have granted to the underwriters an option exercisable not later than 45 days after the date of this prospectus to purchase up to a number of additional 1,875,000 shares of common stock and/or common warrants to purchase 1,875,000 shares of common stock..."
now it gets interesting ,
"The underwriters may exercise the option solely to cover overallotments, if any, made in connection with this offering. "
" In connection with this offering, the underwriters may engage in transactions that stabilize, maintain or otherwise affect the price of our common stock. "
now it gets very interesting , follow me ,
"Specifically, the underwriters may over-allot in connection with this offering by selling more shares of common stock than are set forth on the cover page of this prospectus. This creates a short position in our common stock for the underwriters’ own account. The short position may be either a covered short position or a naked short position."
no wonder pps is down to these levels and below offering price cause they let them short/naked short their own stock
and now the most interesting thing to us :
" The underwriters may also elect to stabilize the price of our common stock or reduce any short position by bidding for, and purchasing, common stock in the open market. "
now since both these dates are coincidentally July , 30 and since idxg has to close above 1 $ before july , 30 to avoid nasdaq notice of non compliance , underwriters may just bid up the stock to over 1$ , "The underwriters may also elect to stabilize the price of our common stock..." by covering their short/naked short
i still can not believe they would let them short / naked short their own stock
all this is why i think next 2 weeks should be interesting to watch
in my opinion
gl
mod
