Ha!
With respect to the ATNX angle, I assume any deal consummated with DCTH would be bought and paid for with a ratio of ATNX stock for DCTH stock. The only issue I see with this scenario is that because the stock is trading so low (and has been for several months) that ATNX (or some other potential acquirer) may not offer a premium ratio I believe DCTH is worth. But sitting at $.018, I don't know how much luxury we have.
With respect to the 14A filing, I am voting NO for two reasons: 1) DCTH will not self-immolate by going into BK—Jenny will find a way to get what she wants. She did last year and she’ll figure it out again if necessary; and 2) to encourage the spectre of a hostile takeover. Current shareholders have endured a series of punishing hits to the PPS over the past year and at this point have every reason and right to encourage price appreciation regardless of the manner by which it happens.
As you may know, I've been throwing out terms like "DCTH throwing smoke" and "The Chewbacca Defense" because, well, they don’t seem to make much sense—at least to me:
1) DCTH going dark on social media beginning last year;
2) Providing shareholders very little in the way of PRs-particularly as the PPS cratered from $10.50 to $.018 post-RS;
3) The sloppy SEC filings related to the private offering, including what I think might be a Guinness Book of World Record for the shortest SEC filing in history (a single word); and
4) Most importantly, the recent SEC filing requesting shareholder vote to increase the number of authorized shares AND a reverse split. The timing is peculiar, as is one of the reasons: The Board strongly believes that the increase in the number of authorized shares of common stock is necessary to provide us with sufficient authorized shares so that the holders of the Series D warrants issued in conjunction with our February 9, 2018 public offering may exercise their warrants. Shouldn’t this have already been accounted for prior to the private offering?
To me, DCTH is either a hot mess with shaky leadership at the helm (I see some of you already nodding your head) or they are pulling a play from President Lincoln’s unambiguous foreign policy during the civil war: The United States would declare war on any country that recognized the Confederate States of America. This included then-current world powers England and France. Did the U.S. have the ability to successfully prosecute two or more wars at the same time? Of course not, but it did have the intended effect. The cost of provoking a war with the United States kept global players on the sidelines.
Put simply, the juice wasn’t worth the squeeze.
I think that might very well be the approach DCTH is taking with the most recent filing. They may not be expecting a hostile takeover, but are taking sufficient steps to prevent one, which means it’s within the realm of possibility. Where the United States had vast natural resources, DCTH has an effective and successful delivery system on the verge of FDA approval in the United States. CHEMSAT, according to the former DCTH CEO, would be re-tasked after FDA approval to combat other forms of nefarious cancers of the liver and colon, opening DCTH to annual $2.5-billion dollar market.
In my opinion, this whole exercise could very well be a bluff. That’s my $.02 for today. And if DCTH goes lower, I’ll be buying on the hunch.
