Delcath Systems Inc (DCTH)

[cvinvestor]

The situation is bad any way you look at it.

If DCTH has some unannounced plan with ANTX to build the company up, or merge or partner, then keeping that under wraps while diluting and announcing more dilution without such news is knowingly driving the PPS down for current stockholders unnecessarily.

If there is no secret LT plan as some suppose, then they are being brutily straightforward with a plan of needing to raise another $20million dollars for 2018 alone and we are already at .02. If they were able to get .02 for every share sold to get to $20M, that's a billion more shares to be sold from current or remarkably near Sam's 1.5 billion shares to get through clinical trials, with exception that it only gets us through 2018 and so might need even more.

What bothered me the most in filings is that they specifically state that not only do they want to increase OS to 1B, but they want it to remain at 1B even when they activate another RS at 1:100 - 1:500 shares. I.E. they plan on raising all capital from dilution selling and are not anticipating the PPS going up. They need to keep selling and RS with OS capped at 1B.

With that as stated goal, how is the current value of PPS going to hold?

I don't understand how this filing on the heels of selling around 250M shares at .02 can make anyone happy, but that's what they have filed and gone public with. If they have some other grandiose plan/agreement with ANTX, why would they keep that a secret. Wouldn't they issue PR once patents were free and clear that they were in negotiations with another company to a) for possible merger in order to finance trials b) negotiating with a company for partnership etc which would boost PPS and make new investors happy who bought at .02 and draw more investors at possibly higher price.

Instead, on the heels of striking a deal for potentially about 750M total shares at .02, they announce further share dilution to the tune of raising 20M more than the 5M they raised guaranteeing 750M total share purchase at .02.

Strategy wise, I can't make sense out of any of it and so I sold today. Second time around I've lost big. Who would have thought that .03-.04/share for a company with phase 3 trials was overpriced.

I'll buy back in if I see insiders start to use some of their $500K salaries to invest in the company. Until then, buyers beware I guess