Cytogenix (fka CYGX)

[OverDraught]

Been lurking here for a couple of weeks trying to decide if this is a good stock to buy. To answer your question, the PPS is almost irrelevant to the investors in the next round (if there is one). They will commit to a fixed dollar amount and the price per share will be determined at closing based on the market price at that time. A steadily declining price can delay or even kill the deal, but in this case the price appears to have stabilized and should not be a deal killer.

IMO, CYGX is a classic example of a company that was IPO'd before it was ready. It was probably done to provide an exit strategy for the early stage investors, but under the current market conditions the company would be better off if it were privately held.