Anavex Life Sciences Corp (AVXL)

[Gator328]

All valid points, and evidence is mounting that Dr. Missling is kind of sketchy when it comes to transparency with investors.

Everyone knew dilution was going to happen but he reiterated that there is no problem with funding. The honest thing would have been to qualify that with the need for funding later on. $250M isn’t enough to go without a partner no matter how many shares are issued.

Everyone thought the preferreds were to prevent a hostile takeover. Just as plausible they’re going to circumvent the 100M A/S limit. But nobody wanted to hear or discuss that possibility.

Not everything is a positive. The shelf registration isn’t one. If it were for a billion dollars that would signal maybe he’s looking to go without a partner because that’s enough to take a drug to market.

Maybe the offering is to raise money for A371. If you’re unsure about long term chances raising money now isn’t a bad idea while there are still people willing to invest. Either way, the after hours holiday release was a shady move by a questionable CEO who just weeks earlier boasted of the fact the company has plenty of runway for the long term.