Replies to post #29389 on Delcath Systems Inc (DCTH)

[Looking4BIGcash]

Sam,
extinguishing the debt took out possible objection by the lenders who held the patents as collateral. The company can now make a deal with no interference from other parties.

Using this event to drop share price allowed companies that speculate to buy large quantities of shares on the cheap which they can pledge votes towards the buyer's deal without any one group holding more than 5% which helps the deal stay quiet until announced.

The only questions for me is timing and how rich an offer?

My main concern: I am waiting to see an 'options reset' for Directors, Employees and of course the Executive.

This 'quiet period is a great time for insiders to use as cover to make buys.

As you know (this is for others): Jenny did the right thing here. Anyone who doesn't see that doesn't understand Fiduciary Responsibility. In a BK, equity would be wiped out.

BTW: This company will have no debt and it just showed the World that it can do an equity financing so BK is not an issue.

[JJAAMMAANN]

Had the BO been publicized, the Note Holders would have asked for much more than the low priced warrants if a Cash Offer were to be presented. Having controlling interest over the Company's Patents is Huge! I am uncertain how/why the BOD ever let this happen, but it was a terrible mistake. I am surprised that they were to relinquish control with only 123M shares and warrants. The fact that they have shares now and warrants to purchase more shares keeps them fairly in the game when it comes to a possible BO too; because all warrants will have to be honored at the same per share price for a buy out. Either way, they stand to make millions should this make it all the way to FDA approval, or even if an offer comes in with positive Phase 3 data.
Win/Win in my book, but I for one am very glad that they took the offer and are not in control of the company's destiny anymore.
Best of Luck Sam!
IMHO