He totally tried to paint it as horrible, no doubt.
I actually think he may be correct on this one. But, I also think he is failing to see it as a strategic move on NW Bio's parts. At this stage the Company will try to keep the share issuance to a minimum. If the science is successful than using an equity line of credit actually is to our benefit, not our detriment. Instead of a flat out 14 million shares dilution all at once, our shares would only be diluted to the amount of shares that get issued between now and Phase iii report out, depending on their financing needs. They might end up only drawing on a fraction of the shares. No one can control when patient events come in, it's better to have a draw that covers a longer period of their capital needs. I think that may be how they set it up. Using an equity line of credit may end up being a smarter move, verse straight out dilution. With possibly weeks to go before we hear, this insure they can get to the end without running out of funds. And it also should ensure a floor. I personally think if it is LPC than they will certainly risk holding some to go long too. Time will tell.