Replies to post #9050 on Mast Therapeutics, Inc. (MSTX)

[KevinJ]

I agree selling now might be too late. But do remember, all their BE trials will need to be scratched and redone. That alone will burn all their remaining cash, let alone start up new R&D to new drugs. And remember, even if they start new R&D towards a new drug, this takes YEARS before they'll eventually file for an NDA. And the FDA always has the opportunity to reject this. And also, keep in mind that a file for NDA costs well over 1M dollar. I'm just saying, the future does not look bright for this co. especially short-term (next 6 to 18months).

[rhtaylor62]

I agree Leon, selling at this level is stupid. This is a $2.00 stock without approval. I am buying more!

[UpstateChris]

ANX is likely not finished. This is just the next in a chain of very amateur type mistakes. They are spending millions on contractors (based on their business model of minimal staff and contract experts as needed). This makes it even more puzzling how such mistakes could occur. 530 was never about huge revenue streams - more just a "get something out the gate" type drug that would have funded the extended trials for 514/188. At this point there will most likely be another round of fundraising (dilution) to get through those trials. There really isn't another way as existing cash on hand versus burn rate will not carry them unless they get incredibly lucky on NDA acceptance, fast tracked and accepted on 514. I am betting against that based on current track record.

Its a tough call. They will appeal the current rejection, and they will lose (no one wins - that would require the FDA admitting it make a judgement error). So 530 is now years off.

In my opinion 514 is their best last hope. They get it though they will knock it out of the park - any hiccups and it's over. This just went from a close to sure thing to a highly risky spec play overnight. I closed all my long position between 7:01-7:15 last night and was lucky enough to just scrape off a few dollars profit. I feel for those of you who lost, but if you are still long (depending on your cost basis) I would look to sell on any bounce or plan to hold for 12-18 more months and hope that the coming dilution is not too bad and potential of another reverse split to avoid delisting does not happen.