Biotech Values

[DewDiligence]

…you can't sell unregistered shares…

Duh! That’s exactly why PIPE’s are usually sold at a sizable discount and often contain warrants. Unless the buyers are fully hedged, they incur the risk that bad stuff will happen between the date the deal closes and the date of the subsequent share registration.

…a SECONDARY OFFERING which is open to the public a PIPE is not open and thats the difference.

Wrong again. A secondary offering (or part of an offering) is an offering of shares by existing shareholders (often insiders) rather than by the company itself. Sales of shares by the company itself—whether a PIPE, an underwritten offering, or a registered direct—are primary rather than secondary offerings.