RespireRx Pharmaceuticals Inc (fka RSPI)

[gershfinance]

With just under $7 million in cash and burning about a million per month, Cortex has until April before they are out of money. That's about the same time that their annual report/audit will come out, so as long as they raise money by then, all is fine.

I work in the Venture industry, and know that a) valuations are pitiful, b) lots of early stage companies are in trouble, and c) investors are somewhat frantic as there is no source of capital for developing drugs (remember that IPOs arent liquidity events for biotechs like they are for tech....they are just a later stage funding source).

All that being said, Cortex has a drug in phase II with positive results, a pipeline (multiple shots on goal), and demonstrated success to some degree (though not clean) in multiple indications. Their market cap (at $0.60/share) less cash gives them a technology value of less than $20 million. While this is not completely unheard of in today's marketplace, I'd argue it is on the low side of valuations and that things shouldnt get a whole lot worse. I see series A companies with far less clinical success getting funded at higher valuations.