"Company Has Over A Year's Worth of Cash in Hand"
In the headline? Really? And in the body? Qualifiers:
"The Company estimates that it has sufficient cash in hand to last more than one year of operations at the current rate of expenditure."
"The Company has stated that it will be required to raise additional capital in the near future to fund our drug candidates as they advance towards IND stage and into human clinical trials, as is the case with most if not all non-revenue innovative pharmaceutical companies."
It's deceptive to make that unqualified statement in the headline. And the qualifiers soft pedal the issue, omitting the info that really matters:
"However, management believes that the available funds are insufficient for the Company’s projected work, which is beyond our normal pre-clinical development operations, leading towards an Investigational New Drug Application (IND) filing with the U.S. Food and Drug Administration (FDA), to continue through May 2019."
The text of a press release should provide unqualified support to its headline, not explain why that headline IS NOT TRUE if the Company actually wants to execute its operational strategy.
There is, of course, one way to justify the headline but it may be to say something that the company would rather not say and that would be this:
The Company Has Over A Year's Worth of Cash in Hand because it does not expect to conduct the activities leading towards an Investigational New Drug Application (IND) filing with the U.S. Food and Drug Administration (FDA) during the next 12 months.
Maybe that's the case and if so management may have deemed it to be TMI to put in their promotional press release..
But can it core A apple?
Yes Ralph, of course it can core A apple.
