As investors are on the lookout for cheap biotech stocks which may have great potential upside, the slow and steady performance of some companies may present viable financial returns in the coming years.
One company of interest in this specific category is Regencell Bioscience Holdings Limited (NASDAQ:RGC), an early-stage bioscience company focusing on the research, development, and commercialization of Traditional Chinese Medicine ("TCM").
Regencell Bioscience focuses on the research and development of neurocognitive disorders and degeneration, more specifically in ADHD, ASD, and infectious diseases such as COVID-19.
The bioscience company went public with around 2.6 million ordinary shares at $9.50 per share, raising approximately $22.7 million.
RGC has kept investors interested and has received media attention for all the right reasons; the most recent - the company's chairman and CEO, Yat-Gai Au used over $5.9 million of his personal funds to purchase ordinary RGC shares through the open market to support the growth and potential of the company.
Sizable stock purchases by insider investors, with the CEO being an exception, have helped the company sidestep short sellers and hedge fund managers that have been taking advantage of small-time investors. Currently, the company has just over 2.6 million shares on the market available for trade.
All directors and employees who were previously granted stock options have agreed to a further lock-up undertaking for an additional six months, until July 20, 2023, the second anniversary of the company’s initial public offering. Their shares will remain locked up until such date.
