They could easily have sold shares that they already owned/controlled, knowing that they would be replacing with new shares at a steeply discounted price. I suspect some type of naked shorting is possible, not sure on full mechanics of such...
My point is and always has been that the Convertible deal was NEVER necessary and was a horrible deal in direct contrast to the interest of the owners of the company (common share holders), which management is supposed to be a fiduciary of...
This current preferred convertible pricing would only be appropriate if the company was completely out of cash and had no better options. That isn't remotely the case. This deal was structured to be a win, no matter how the trial turned out... They were given upside in each direction with no risk... Remember when Neurotrope adopted the poison pill to "protect shareholder interests" from the share price being below the cash position, well, they schemed this as an opportunity for themselves to steal the assets of the company which previously they had tried to protect against when it was their own interest to protect...
I don't really understand why you defend these deals. If you only care about following the science and you're not into this as an investor, fine. But, I'm strongly suggesting based upon clear (IMHO) evidence that they have been manipulating a public capital market for their own gain and doing so at the expense of the public investors that may have been motivated to invest by the exciting developments as represented by Dr. Alkon.... I absolutely believe there is criminal culpability here!
