I just can't bring myself to ever again buy a biotech stock for a bounce play. Even if it's down 95%, I can somehow make it fall another 95% lol. I have that ability.
Doesn't matter if they have other drugs "in the pipeline". I tend to clog that pipeline.
The CVR relates to potential monetization of STS101, an intranasal acute-migraine treatment that failed two phase-3 trials (#msg-170444970, #msg-158207498). Since those failures, STSA has essentially been a shell company trading at a negative enterprise value.
Excluding the CVR, the buyout price of $0.91/sh is a 39% premium to Friday’s closing price; however, the buyout price is down 94% from STSA’s 2019 IPO price of $15.00 (#msg-151112084).