BB's Stock Haven

[spion]

Question: It seems that these low caps always tank once a public offering announcement is made....sometimes 50% below the offering price. If this is the expected behavior at an announcement why would anyone purchase at the offering price if the expectation is continual lowering and eventually R/S ? Aren't the offered shares and warrants also affected by the potential R/S in a negative way ? There has to be something I'm missing. This seems to be a very common pattern in these low cap NAS tickers.