Aug. 26 at 3:38 PM
$TLTFF Considering Theralase now has a 105M+ warrant overhang, almost entirely in the low-to-mid
$0.30s, it’s worth reviewing this ongoing financing playbook:
Depressed stock → financing → cheap shares + warrants → financing-related shorting → closing → shorts covered with newly issued shares → warrants retained.
In the two recent financings, short interest reached levels equivalent to 30%+ of the shs issued. The repeated pattern raises the possibility that sophisticated investors are positioned to benefit from the financing structure and future dilution rather than betting on LT stock appreciation. The real concern is what happens if the wts become substantially ITM. A holder with a large warrant position could potentially use that position in a hedging strategy, creating additional selling pressure precisely when retail momentum begins. With no acceleration clause forcing exercise, the 105M+ warrant overhang could remain a significant structural constraint on the common for years.
