As of May 27th, We have 4,821,537,092 shares outstanding. Does everyone realize we would only need to have a 1-for-10 R/S Ratio to be where CTIC is at, 500M OS? I don't see a problem with this. I am still wondering what makes everyone so adamantly believe Genta is going for the full 1-for-100? My guess is they just said that to leave their options open.
But people keep doing this comparison as if there is no other differences in the two companies. There are BIG differences.
CTIC is listed on NASDAQ Capital Market.
GNTA is listed on the Over the Counter BB.
This is a big difference, the most important in my opinion. Many institutional investors can't touch OTCBB companies. You cannot get listed on a major exchange unless you meet certain criteria, and being above $1 is a major one. Doing the 1:100 get them above, or at least closer to that number.
CTIC has 26x the income of GNTA in the last 12 months.
Having 6 Billion shares outstanding is a big problem. Right now GNTA is worth about $62MM. That is the market cap. Sure, we know that the have other worth that may not be reflected in the price, but that is what it is worth. But this is where I have a real problem. The market cap was about $99MM in December, before the big price drop caused by the OODP notification. So right now you have had a decrease of $37MM since that time. So they have issued about 13x more shares and the price has only dropped by 1/3rd. So to me that says, if it was correct that GNTA was worth $99MM in early December with about 450MM shares outstanding, if all things are equal, it should be worth 0.017 today. But, considering that the news of the OODP letter dropped the value in December by about 85%, one could make the argument that the value is .0025.
So that gives me the approximate range of value, 0.0025 to 0.017. I think it is actually somewhere in between there, given what is pending. And guess what? The price is at 0.0102, just about in the middle of that range. So, if you can hold it at $0.01, do the 1:100 reverse, the price will be about $1 with 60MM shares outstanding.
I disagree with something else I've read here. People keep saying the authorized shares is at 6 billion and that the R/S will not change that. Unless they stated that they are requested an increase in the authorized, the R/S will decrease the authorized by the same ratio as the R/S. If they then want to increase the authorized, they have to do another vote. And remember, once the note holders, who will own 92% of the company after full conversion, have converted, their interest will be the same as the old shareholders. Any additional dulition will hurt them as well, and that might influence their votes on an increase of the authorized. This is my ray of hope here. I think the company will reverse the shares, then come out with any news they might have to keep the price up and moving forward.
The financing deal was toxic to the shareholders that existed before the deal was done. I understand that companies like this must find money somewhere, but this is about the worst deal I've ever seen. Check some of my own investments in other bio-techs and you will see the same type of deals. Check CVM. They have done these type of deals and got KILLED. But it is the nature of the business.
If you got in before the deal was done you really have only two choices. Hold your shares and hope for the best or sell out and move on.
Lucky for me I got in just a few weeks ago and got out on the run a couple weeks ago. But I'll be watching and will get back in if I think things improve. But you have to ignore the people YELLING- NEWS SOON or SELL NOW! Because it is all about the numbers, and the numbers don't lie.
News 
Market Data 
Discover 
