Bear,
Yes, agree about the secondary analogy, for better and worse;
Better: there's limited dilution, as there would be with a secondary.
Worse: predictably, the market doesn't like the transaction.
Like most on this board, I'm in this issue for the long run. Appears the long run may now be longer, but ...
I don't think that the real underpinnings of a $5 price are any different than they ever were:
1) growth: lots of it
2) earnings: lots of 'em
3) uplisting: couple of 'em with spin outs(s)
It's quasi-impossible to know when these will be believed, even tho the company is basically on plan.
Again, I hope that Solomon avoids this kind of transaction in the future, by:
1) fish sale revenues ramping, and new construction, possibly with slower sale equity accruing in favor of cash now for cap ex
2) cash flowing any way possible; e.g., fertilizer/feed/restaurant ramp
3) grants coming through
4) new supplier credit lines with sufficient time to be repaid with cash from operations
5) new private party debt or JV deals that allow leeway for time to realize cash profits
6) bank debt for HU capex or other cash flowing subs
Happy Holidays to you as well!
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