After MANY months of thought and analysis, the ONLY logical explanation I can come up with for what we have seen and continue to see is the following.
In the first place, I cannot fully subscribe to the notion that “they don’t care about the PPS,” as some have maintained. To assert that they are not engaged in a PND is not the same thing as saying they don’t care about the PPS. Moreover, the price action seen over the last several months (with the PPS trading in a very narrow and controlled channel) confirms to my mind that they are not particularly interested in seeing significant movement in either direction—but ESPECIALLY up.
My gut tells me that those of us who, through personal resources and connections to others with means (who saw what we saw and threw more money at this) drove the action to .07–and that this spike was directly contrary to CELZ’ business purposes and gameplan. Thus the maintenance of their marketing and communications posture—which has been TREMENDOUSLY minimalistic (for whatever reasons they deem that approach either preferable or necessary).
To this point I have speculated (in other posts) that their lack of interest in seeing the PPS rise—in which they themselves are HEAVILY invested too—may correlate with a business strategy that involves the assignment of shares to physicians in some form or fashion (whether when they sign up and/or on some ongoing basis): in this analysis, higher PPS leaves FEWER shares for such designations (assuming a relatively fixed budget allocation for such purposes).
In addition to this explanatory possibility, another idea struck me today: if they were looking to sell just the CaverStem brand (keep in mind that CaverStem International is explicitly designated as a SEPARATE ENTITY) in order to generate a huge infusion of cash with which they would fund all other development and commercialization endeavors, then we might have another legitimate business reason to be apathetic toward a higher PPS: a higher PPS would command a higher price for CaverStem than their financial analysis suggests that CaverStem could easily support, at least in the near term (remember: their explicit goal is to have revenues sufficient to sustain CELZ in 2019).
I recall in the early 90s a rumor that Publix Supermarkets was interested in buying Ingles Markets: when Ingles’ stock tripled, that idea got scrapped (and that was LONG before the age of swift and abundant information that we have today!).
If they were to build CaverStem just enough to sell in this manner, even as they are developing FemCelz right behind it, they just might have the best of both worlds: sell CaverStem for cash to some existing entity in the MALE ED market space, and then establish FemCelz as THE brand within the comparatively non-existent female sexual dysfunction space—with which they would, in this analysis, fund operations going forward.
Can you spare some more tea leaves? Lol
AI
