The following was just sent to SCYX investor relations.
Thanks for getting back to me. I recommend that SCYX issue a good-will corporate update ASAP, to calm your plunging PPS.
I also recommend that for future Warrants, to the extent there are remaining issued Warrants, they be reduced 1-for-1 when the related Common Shares are sold.
Your press release on Apr 21 reported very exciting news. This typically would attract new buyers & rewards existing Shareholders. However, the PPS has dropped around -28% since Apr 21. WHY is this?
Going forward, SCYX really needs to craft a better 1-for-1 warrants policy. The long term investors are getting severely punished by your last “selective” Public Offering Warrants.
There appears to be a strategic round trip strategy in-play at the $1.05+ to $1.10+ PPS levels. The Offering purchasers sell massive amounts of the Offering $.90 Common Shares because the 1.10 Warrants can, in the future, replenish shares sold. Also, If desirable, these same purchasers buy/increase the Common Shares when the PPS subsequently seems to bottom.
The aforementioned Warrant Holders are making huge profits by selling Common Shares (per above) while maintaining all of their Warrants. This massive selling precipitates anger & or panic selling to further plunge the PPS. To add insult to injury, at the bottoming of the PPS, Common Shares can be bought back by the selective Public Offering purchasers.
It should be noted that your future funding needs are compromised by lower (than justifiable) PPS because of the above matters.
Please forward this email to your Management.
