Quote NO LOL, "The price was never $40. Here is a breif history of the company as well as a fair assessment of where it stands now:
The company tried to get Myocell through the FDA right away and ended up spending $100 mill that they didn't have. As most upstart biotechs do, they tried to pay for this through dilution of shares. Eventually, to pay for the trials, they did a RS and continued to dilute. What you see is the price adjusted for the RS.
Back in the beginning of this year, the company was on the verge of bankruptcy. They were in court with the largest creditor when it was revealed that they had a couple of buyout offers. The largest creditor refused to work out a deal that would have paid them back with interest after finding out what the offers entailed. Instead, they met privately and worked out a new plan.
The creditor (Northstar) agreed to help USRM get on it's feet - likely for the purpose of merging or being acuired by a large company for substantially more than the first offers. Northstar has made incredible strides by repairing the balance sheet, eliminated toxic debt, connected them with a large investor, and managed the business better. Northstar got a percentage of USRM shares and a seat on the board in return. From that point, the stock went from .002 to as high as .17. The FDA has since harmed the share price.
Right now, the FDA has publicly agreed to give stem cell companies like USRM a long leash for the next 3 years. During that time, USRM is able to increase it's business and demonstrate that their methods are in fact safe and effective. USRM increased it's chances for success by hiring a law firm that specializes in getting a product through the FDA. That lawfirm also is able to establish a business relationship with the FDA that could prove very beneficial. We are now seeing the stock price re-balance with the new FDA guidelines (that benefit the USRM) and the hiring of this law firm which will give USRM a huge tactical advantage. "
Uh, all except pretty much NONE OF THAT IS EVEN REMOTELY FACTUALLY CORRECT LOL ?????????????????
NOT A SHRED OF IT REALLY????
Not sure where to even try to explain, there's SO MANY FACTUAL, JUST TOTALLY UNTRUE INACURACIES in the "story" as told, falsely above. I'll give a "try" at correcting the grossest of the major errors, which are numerous. EVERYTHING can be found in SEC filings of course, court filed documents, PR from major news sources who covered this company's horribly mis-managed early days, really all its entire existence, it's looong history of barely financially surviving (except for insider enrichment of course) and NUMEROUS times skirting BK and insolvency, the 99% LOSS to the common shares bad reality, etc
I'll re-quote the false version, and comment on at least the worst of the gross errors contained therein;
QUOTE:
"The price was never $40. Here is a breif history of the company as well as a fair assessment of where it stands now:
The company tried to get Myocell through the FDA right away and ended up spending $100 mill that they didn't have. As most upstart biotechs do, they tried to pay for this through dilution of shares. Eventually, to pay for the trials, they did a RS and continued to dilute. What you see is the price adjusted for the RS.
WRONG. MOST of all money spent on R&D for the clinical trials was raised PRIOR TO THE COMPANY IPO, all $100 MILLION approx, nearly ALL raised prior to the 2008 BOTCHED IPO, raised from PRIVATE INVESTORS who Howard Leonhardt "courted", including former NFL player Dan Marino, and Jason Taylor, etc - those monies raised and SPENT by 2009 had ZERO to due with all the future dilution, approx 1.5 BILLION shares worth done by Tomas, at which time they conducted essentially ZERO FDA level clinical trials, and NONE involving Myocell as falsely stated above. By the time the MASS SHARE DILUTING OCCURRED, this company was running ZERO heart clinical trials, at least not any w/ FDA oversight or quality and their R&D budget had been hacked to laughable levels to pad the cash to go "elsewhere"...gee, where would that be..CASH BONUSES..."other" RELATED PARTY blah, blah and vague entries like "SERVICES RENDERED" (how many of Comella's family got gigs doing "something" for this company for which Tomas pays um- name all those side-gigs, including Rachel Comella and the "MEDICAL KIT BIZ" filed as an empty LLC, with a home address and nothing more, the one Tomas was gonna "BUY FOR CASH AND STOCK", LOL ....yeah, like THAT.
Dilution DID NOT HAPPEN due to "clinical trials" being funded blah, blah, blah TOTAL BS. The massive dilution went to SALARIES, BONUSES and almost nothing to R&D. Just SG&A overhead, with salaries for "THE TWO" being the vast majority of that, then legal fees, their lease, and paying insiders such as Northstar, interest on massive debts which they still have to this day, etc
Back in the beginning of this year, the company was on the verge of bankruptcy. They were in court with the largest creditor when it was revealed that they had a couple of buyout offers. The largest creditor refused to work out a deal that would have paid them back with interest after finding out what the offers entailed. Instead, they met privately and worked out a new plan.
WRONG. The company has been a GOING CONCERN/LIQUIDITY WARNING as far back as at least mid 2010 when Tomas/Comella took over full control of the company, and they have been on the verge of BK many, many, many times since, almost all the time since. There are SEC 10-K and 10-Q filings from 2010 to 2015/2016 where "CASH ON HAND" was a little as "$ZERO" in one filing (NOT A JOKE) to usually a measly $50K or whatever many times, against debts and accounts payable and CURRENT LIABILITIES in the many, many $MILLIONS, SAME AS NOW. They are still a GOING CONCERN/LIQUIDITY WARNING per Sr Mgt (Tomas) own commentary in latest 10-Q and per their own auditors, and I'll pretty much guarantee it will still be there in the 10-K for end of yr 2017, a year will they will book another VERY LARGE LOSS FOR THE YEAR, and have CURRENT LIABILITIES (those due in one yr or less) against VERY LOW CASH-ON-HAND, AND they have a major debt/loan coming due they must renegotiate, which if the GUARANTORS DID NOT EXIST, who is Northstar LLC, the company would be in insta-BK more than likely. The GUARANTORS have accounts/assets parked at the bank to "guarantee" that if USRM doesn't pay the interest or any debt payment due, then the bank will take the asset(s) (CASH, real estate, whatever) of the "GUARANTORS".
The creditor (Northstar) agreed to help USRM get on it's feet - likely for the purpose of merging or being acuired by a large company for substantially more than the first offers. Northstar has made incredible strides by repairing the balance sheet, eliminated toxic debt, connected them with a large investor, and managed the business better. Northstar got a percentage of USRM shares and a seat on the board in return. From that point, the stock went from .002 to as high as .17. The FDA has since harmed the share price.
WRONG AGAIN????
Northstar did NO SUCH THING????? Northstar is "trying" in futility to RECOVER EVEN PENNIES ON THE DOLLAR, as they've all been WIPED FOR MASSIVE, MASSIVE LOSSES since they're all early "investors/insiders" in this 99% LOSER, MONEY PIT, LOL !! They already HAD 20 MILLION PREFERRED SHARES with 25 to 1 voting rights to the common shares, LOL. THEY DIDN't "GET A PERCENTAGE OF THE SHARES", hell, they already HAD THEM. They just got um CONVERTED to FREE TRADING SHARES and GOT A BUTT LOAD MORE, that's what the sham-wow "suit" was all about, and Tomas picked up the tab, ON THE SHAREHOLDER's DIME, AS USUAL.
There's no damn "acquisition" or whatever? The lawsuit said ONLY THAT TOMAS "CLAIMED" there was a supposed "buyer", BUT, BUT he, HE NEVER WOULD SHOW ANY OF THE INFORMATION TO ANY OTHER BOARD MEMBER, NOT TO NORTHSTAR, NOT TO ANYONE, but wanted Northstar to simply "sign off one it", and Tomas could of been "selling the company"" to Comella and himself for $5 bucks and no one would have known the difference- it was a sham. NO BOARD MEMBER SAW THESE FANTASY SUPPOSED "offers" OTHER THAN Tomas himself, who would disclose NOTHING, despite supposed numerous attempts by insiders/Northstar members requesting to "see that the hell the offer even stated". Personally, the entire thing to me was a kangaroo sham-wow special, just to get that "note of offers" on the ruse of a "lawsuit" document, so they could pump it later in PR, as of course has happened, per the early 2017 P&D, one of which the toxic note holders were nearly 100% guaranteed to all be "participants" as was most likely the mystery "foreign entity" to who Tomas issued 19.9 MILLION shares for a lousy $60K, which he falsely claimed in the first 8-K was $90K, then later just "poof" changed it in the SEC 10-Q that followed. That was 1/3 of the O/s shares at the time that Tomas dished to some off-shore "entity/person" for no known reason, suddenly worth $MILLIONS, timed more perfect than a Swiss watch, once the pump of early 2017 commenced- gee, another "coincidence" right? Stinks worse than an open air fish market on a 100 degree day. B A D, BAD. UNREGISTERED SHARES, another "hallmark" of Tomas, and OTC-ville to the stinky tee. Just read the SEC's own site on micro-cap fraud, and UNREGISTERED odd-ball share issuance/sales is right near the top of the bad list.
Northstar Biotech LLC IS NOT A "CREDITOR" to this company, and certainly NOT their supposed "largest creditor", not even close. 100% FALSE STATEMENT. Northstar Biotech was formed, by insiders, to at as "guarantors" when a key loan went into default, clear back in approx 2009, and was going to send the company to BK. Their were several loans involved - the B of A loan, the Bluecrest Master fund loan (their underwriters) etc. Northstar pledged personal assets (homes, bank account deposits etc) to keep the bank from shutting down failing Bioheart, as they were all still "hoping" to get their money back as early investors, who were getting CREAMED for massive losses on this total POS. The early investors, Northstar members included, which includes Chairman Murphy, have gotten wiped by putting their money in Bioheart, now USRM. Probably near total losses for all of them. Sam Ahn quit the BOD and was a Northstar member, an actual M.D., with a thriving medical practice at UCLA, and Charles Hart was set-up by Tomas it appears, and fired, as Tomas appears to have "staged" the phony lawsuit to benefit certain, key insiders, via getting the 20 MILLION Northstar essentially worthless "Preferred" shares, "converted" to now 31 MILLION free-trading shares, with Tomas picking up the tab on the shareholder's dime for the bogus suit. It's bogus, because Tomas and Comella ended up as now getting a goody-cut of Northstar, when the entire original sham "complaint" was that Tomas had breached his fiduciary duties, was mis-managing the company, holds no real board meetings (probably true IMO), keeps everything secret regarding what he and Comella do, and old man Murphy is stated to "VOTE IN LOCK STEP" to whatever Tomas tells him- which of course would be no surprise at all. So it's really the Mike and Kristin show, and not much more.
Knutson, the "new board member" is a freaking small-time CONCRETE CONSTRUCTION CONTRACTOR with ZERO experience in public traded companies or being a board member and wouldn't know "biotech" if it had rebar and cement wrapped up with a Christmas bow. He's down the road from ole Chuck Hart, and is just another guy from rural po-dunk MN, who appears to have gotten suckered in to this money pit early on, by Howard Leonhardt, who happens to have ties back to po-dunk MN. SHAZAM, two "construction guys" who sit as "board members" of a supposed "high tech" medical R&D company, LOL ! RIGHT ON. Yeah, he's some real gem business dude who according to the 100% FALSE statements above has "turned this around" and done "blah, blah, blah", he's a CONCRETE CONTRACTOR, and a small-time one at that. He's out-voted on ANYTHING Tomas wants to do- so his position of supposedly "being on the BOD" amounts to NOTHING. DO YOU SEE HIS BIO AND PICTURE ON THE USRM website or anywhere else? NO. End of fake story on that one.
Right now, the FDA has publicly agreed to give stem cell companies like USRM a long leash for the next 3 years. During that time, USRM is able to increase it's business and demonstrate that their methods are in fact safe and effective. USRM increased it's chances for success by hiring a law firm that specializes in getting a product through the FDA. That lawfirm also is able to establish a business relationship with the FDA that could prove very beneficial. We are now seeing the stock price re-balance with the new FDA guidelines (that benefit the USRM) and the hiring of this law firm which will give USRM a huge tactical advantage. "
WRONG AGAIN. Companies WHO PUT PATIENT'S AT RISK OF HARM and DO NOT HEED WARNING LETTERS WILL NOT "GET THREE YEARS" blah, blah, blah BS. Commissioner Gottlieb has CLEARLY STATED he's formed a dedicated, new, and special "task force/working group" to "PURSUE BAD ACTORS AND THE UNSCRUPULOUS", a term he SPECIFICALLY used on more than one occasion in DIRECT REFERENCE TO USRM and Comella and specifically the USCC "clinic" biz WARING LETTER to all those named parties. There is an OPEN WARNING LETTER, which means the FDA is still investigating USCC/Comella as NO "close out" to a single item or issue has been sent by the FDA. Comella received SEVERAL 483 WARNINGS prior to the WARNING LETTER, one with extremely serious allegations being made, and one that in the letter itself can/may lead to SEIZURE, INJUNCTION and in other commentary, potentially even "criminal" charges, if not corrected, not heeded.
TO DATE, Comella has stopped NOTHING she's doing "in clinic" in terms of "claiming" to "treat" ALS, Parkinson's, COPD, Lupus and the entire wash-list of serious maladies thee FDA SPECIFICALLY POINTED OUT HAVE, "NO FDA APPROVALS AND NO KNOWN OR PROVEN SCIENTIFIC EFFICACY FOR HOW SHE WAS "TREATING" SAID MALADIES VIA FAT CELL DERIVED FVS" and, and the FDA then CLEARLY STATED (and it's in the NEW GUIDANCE DOCUMENTS) that Comella/USCC is NOT "operating under 1271" blah, blah BS as she claims, with "SAME DAY EXEMPTION" but in fact if "MAKING A NEW DRUG" and is thus NOT "exempt" and is thus violating numerous sections of the Food, Drug and Cosmetics Act. The FDA also stated Comella attempted to "IMPEDE A FEDERAL INVESTIGATION", another act that can result in product seizure, injunction, and fines or "other" charges, etc
They hired a law firm, for "CASE LAW" as they're potentially facing very, very serious legal matters - including potential INJUNCTION, in which the FDA would engage a U.S. attorney to file charges against USRM/USCC/Comella to effectively "CEASE AND DESIST" among other possible charges.
THAT to me, is the accurate REALITY SHOW version, not the FALSE "BRIEF HISTORY" that has no SEC filings to back it up, NO FACTS based on recent FDA statements and actions, no facts based on YEARS of bogus PR and "claims" and blogs and fantasy "deals" and "agreements inked" and "term sheets signed" and "we've expanded the team" and blah, blah, blah BS that NEVER COMES TRUE, etc
