Lightwave Logic Inc (LWLG)

[tedpeele]

The expansion that didn't happen for 9 months

The December 2022 shareholder letter said this:

We have intensified our reliability testing and expanded our laboratory space by approximately 9,000 square feet.

This was not true. Shareholders didn't find out until the 10 k was filed on April 1 that there was an occupying tenant at that time whose lease ended 8 months later, so there had been no expansion at all yet. Why would the company say they expanded their space - leading investors to believe it was immediately going to be used for reliability testing - when they knew it wasn't? Were they trying to paint a better picture back in December to keep shareholder happy, or were they just careless with their wording?

Nevertheless, while expansion is a good thing, the fact that they were willing to wait 9 months - they surely could have bought out the prior tenant with their $26m in cash - suggests they weren't on the verge of massive commercialization and they knew it..the uses they have given for the extra space are varied as opposed to an all-out focus on one thing.

..