I KNOW I'm an unsophisticated investor, and I know that because in the 3 years since I've invested in this company I've LOST money. Not exactly bragging rights. However, it's a slightly bigger issue for me as I deal with blindness also. Is there some method to the madness of adding a billion shares? Either in fact or in theory? With a 100 to 1 reverse split, it narrows that to a million additional shares. Is that being done so a big pharma or someone else can #$%$ up a big pile? Or is it just because ACTC debt outweighs the value of the company and they are in dire straights? Please, only informed educated answers-which leaves out about 3/4 of the people on here. No I don't care about Muslim this or Obama that, try to keep it Blog Topic Specific, besides OBAMA WON !!! LOL.
demand for shares? Given assumed favorable results of clinical trials which will be releasted in conjunction with share issue or reverse split the demand for shares is certain.
When merger or acquisition talk heats up major funds will rush in to profit. Share demand and funding to complete clinical trials or to commercialize actcs technology if orphan ststus is granted would be assured overnight.
Buying additional shares at reasonable prices could be impossible. Most likely actc has or will soon be talking and dealing with a entirely different class of investment funds. IMO the entire transition as seen from a independant investors viewpoint will take less than five trading days.
They are selling these shares to raise cash - Lincoln Park is a perfect example. But once they run out of authorized shares they need to ask the shareholders to okay issuing new ones - thats the dilution that we've been living with.
A reverse split reduces the number of shares. If they split it 1 for 3 you will have one third less shares than you had before. If you thought you were going to make a lot of money with this stock when they succeed in curing the blindness, you will not now.