NOT SEEING IT: Think about the 6M new shares in the context of market cap.
I guess I am missing something, but respectfully I don't get your argument. Adding 10% to outstanding shares without significant additional cash seems to me like DILUTION.
I don't see how cutting the pie into more slices raises market cap. Growing the pie does.
If the goal is to raise market cap before a deal, how about the following:
1. Release full PDD results along with the commencement of a P3 for PDD or better yet, PD.
2. Give an update on the long-term alz patients, some of whom should be taking this now for more than 4 years. Showing efficacy after 4 years would be huge for the stock price.
3. Get Rett wrapped up this quarter and speed to FDA for approval. Rett approval would double market cap.
4. Do a private placement of those 6 million shares at a premium to a high cred biotech investor like Baker Bros. To get 6 million shares, charge them $20 share. The market would bid the stock up above $20 share seeing Baker Bros in there.
Look I am a huge supporter of Dr. Missling and would happily give him a $15 million bonus WHEN AXLS is trading at $100 a share. Sure, give him 150,000 shares a year.
But no way at this $15 stock price where you would have to hand out 1 million shares for the same reward. Why? Because he hasn't earned it yet.
Give him 1 million shares now and the stock goes to $100...that is a $100 million bonus. There is no justification for that given the current stock price!
An unjust enrichment suit would soon follow. CYDY's CEO got nailed with that for getting too greedy and had to give it back.
Until AVXL's stock price is triple digits, a 150,000 or 200,000 share CEO stock option is all that is warranted.
I have been waiting for that $100 share price and retirement for over 5 years now, and we're not even close in terms of stock price. Until we get there, don't come looking for 8 figure bonus packages.
550 hp, 640 lb-ft, 0-60 in 3.8 seconds
