Anavex Life Sciences Corp (AVXL)

[crescentmotor]

I think your use of the word dilutive is misapplied.

It's not.

For me the term dilutive means that there is no value returned for the shares sold. If there is value obtained for the shares being sold then I don't see that as dilutive, I see that as an appropriate use of company assets and shareholders money.

I can agree with you in theory. Now go look at the 47% decline in AVXL's market capitalization during the last year. Those are the facts on the ground so there is no way whatsoever to conclude that any shares sold during that period were not dilutive. Missling deserves credit for minimizing share raises during that period. That's why I keep harping on the fact that assets must be monetized and that is what Missling should be focused on 24/7 because expenses will have to ramp up from current levels. The current facts are that no such monetization is occurring. Therefore, all shares being sold to beef up the cash position, especially at today's prices, are very dilutive. The $64,000 question is will there be a surprise development like a partnership that will result in material cash infusion into the company? Will the EU approve a AVXL drug application for AD within the next year. The answer is always going to be no until it is a yes and therefore we're stuck with shareholder dilution at ever lower stock prices until the tide maybe turns at some point. The easiest way to look at this is to realize that increasing shares outstanding at pre-revenue stage biotech companies can be depended on to be dilutive--the exceptions to it are very rare so that is no point on looking for that to be a lifeline. Every share that Missling has ever issued (all 81.4 million) has been dilutive to shareholders so I won't hold my breath waiting for that accretive value to magically appear.