Jun. 6 at 2:05 PM
$ONCO Thats exactly what I'm thinking.
We all know that the company still needs to raise cash to fund the acquisition. If the company was that desperate to raise cash by any means, they could've conducted their recent RS on a much higher ratio to keep the price above
$5 or
$10 so they can immediately dilute at ease but that did not happen. Am I mising something here in terms òf the company's ability to increase the R/S ratio due to certain nasdaq rules? Probably not.
Instead the company effected a 10-1 RS and the price is still barely trading around
$1. The question now is how can the company continue to dilute heavily at such low price with the guarantee that they can still raise the needed amount and meet legal and regulatory rules to conduct another RS very soon?
Why would the company put itself in such distress position?
Another possible scenario is that the company can come up with other means to raise funding. Probably divest some assets and that is still bullish imo
