Avid Bioservices Inc (CDMO)

[Protector]

That ATM before the preferred shares was a going concern move.

PPHM needs to close EACH year in a position it will NOT again have the going concern close. The ATM cash they raised allows them to close the FISCAL year without any trouble in that area.

The preferred shares timing was not fully within their control. They needed to pass the several steps of the procedure to set it up, then give people the time to check the brochure, and then give MLV the time to find candidates (unless they already had them).

However, with these types of procedures you always have the risk to run into delays or unforeseen obstacles. A small non-compliance of the SEC listings or the brochure, etc could create weeks of unforeseen delay.

So with the ATM they made sure the fiscal year will end clean. The preferred shares is the new future vehicle. IMO