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Message: Re: Finance
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May 25, 2020 01:03PM
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May 25, 2020 06:14PM
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May 26, 2020 12:54AM
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May 26, 2020 04:54PM

"Asked the company a question 're Finance.Reply "insiders are providing finance when required"

 

...it sounds encouraging at first glance,  but here's my problem with that:

 

RVX continues to receive financing from insiders in the range of $200K, $500K, $700k +

The dollar amount is relatively low, so minor(ish) dilution.  But, as the share price sinks, the insiders receive more and more shares per dollar put into the company....AND they have more information than the retail investors to boot.  It's a bit of a rigged game.  The insiders are not incentivized to enourage the market to buy...what evidence do I have???  all recent buyers of the stock have been severely punished by the market for stepping up.  Sentiment is in the tank, and that circles back to CEO,CFO and IR.  We're walking into a hostile environment with both hands tied behind our back and duct tape placed over our mouths.  We're being sent on to the battlefield, and management is saying "don't worry, we've got your back".  Specifically, the CFO and CEO should never put the company in a position of being hard up for cash.  When that happens - especially in Bio-Tech land - the market smells blood.  Therefore, it is a cardinal sin for a CEO/CFO to put a company in such a position.  The vast majority of Bio-Tech CEOs understand that concept very well...not our CEO/CFO.  That is why I think it's time for new managers.

 

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