RE: Major US physician group25 Apr 2024 09:00
EOTB - at least they are being honest about it.
Earlier this week GST released a positive corporate update which saw the sp out of the traps. the very next day they announced a big placing. Admittedly at not that much of a discount but the usual forward selling shenanigans had all happened by that point. People bought in and found themselves with a 40% loss with in hours of investing.
Unless there is very positive news from NICE public consultation tomorrow or early next week then I too think this will be taken private. The market is showing Cheek and his pals Gino and Russ what they think of the rate of progress so far. At this rate they will have to go back to RF for another drawdown but...has the US pharma partner insisted they don't do that and find money elsewhere? Who knows. What is clear is that they either can't raise any money via the usual routes or they don't want to just yet for some reason. I am convinced the RNS yesterday was to try and cause a spike in the sp and get a raise away at a higher price. Unfortunately as many have already posted, it just doesn't work these days for a CEO to say things are great and we're about to do a raise and dilute your investment and expect an upturn in sentiment.
One thing that keeps lurking at the back of my mind though is...if I were the entity offering to fund GDR then I would want to do it at the lowest possible price in the knowledge that rather than forward selling and making a 30/40/50% profit in a wekk that I would likely make a profit of 500% if I hold for just another two or three months and wait for the expected NICE news of FULL recommendation of CYP2C19.
This is the problem with AIM CEOs as far as i can tell, absolutely none of them are open and honest and now there is almost zero trust form the market in any comms put out. It's causing long term damage to the LSE too and AIM I think is in danger of being wound up altogether if the FCA continues to allow AIM Directors to financially rape retail investors the way it currently does.