Biotech Values

[DewDiligence]

…they would be far better served to wait another 6 months until the t-enox overhang diminished and get a much better price for their shares and raise far more against less dilution.

How can MNTA’s executives know when the Teva overhang will be gone or significantly diminished? The answer, of course, is that they can’t. (The stock market is not exactly rational :- ))

Moreover, as noted in #msg-57498292, waiting would incur the risk of a bear market for stocks in general, when it might be hard for even profitable companies to raise capital on attractive terms. I do not actually expect a bear market to happen in the next year or so, but if I were a senior executive at MNTA, I would take such a risk into account.