In my opinion, BK is coming. If that is true then I guess stock will be way down, like 15 cents or something. That's only guessing. I don't make a habit of following BK companies.
I am starting to think that there may be a few tricks up LAFFY's sleeves. If they can somehow wipe the slate clean then maybe, after 1-for-20 reverse split, for example, then they could re-establish themselves.
Why not just let it go to zero and start a new company? I don't know. But I have observed PCYC and asked the same thing. Why buy out a defunct company with no drug and then try to build it up. Why not start anew? Maybe it is so much of a hassle to go through the process of starting a new company, with IPO, etc. that it is actually easier to resurrect an established NASDAQ company ?? I don't know, I am only guessing.
In any event, if and when this happens, I may be interested in jumping in. The drug O has forever been banished and shown to be a killer, so I am sure that it will not be part of the new company. The LAFFY players have been shown that they can take a do-nothing drug and run it up to a billion dollar market cap. I see potential here in the future. All thoughts are welcome.
in the past you have talked about the moral bankruptcy of the company as well as the coming (in your opinion) financial bankruptcy. How does that square with now saying you would invest in the company if you can make a buck?
That is a valid question. As for the financial BK, I am trying to learn how the game works, to see if there is a financial opportunity here or elsewhere.
As for the moral BK aspect, I don't think I have used those exact words - but I definitely believed that O was a killer drug - which now has been established. I believe that Chickening Out of Investor conference call, and other moves have shown bad character, IMO.
The main thing I had against LAFFY was the fact that O caused deaths. I did not want the company to be able to fake out novice investors into thinking the drug was safe. Even an amateur could tell from the original four phase 3 trials that something was very wrong.
Now, with people, we expect personal apologies and atonement. With companies, we are not going to get that. However, the process of BK and payment to families for the lawsuits (admitting that the deaths were due to O) and other moves, such as ditching O forever and admitting it caused deaths --- these are the types of moves I would look for in a company which would equate to 'atonement'. A personal apology from CEO to investors would not hurt either.
In short, I think it is possible for a company to redeem itself. But not without admitting the truth, getting rid of the bad spirits (like O) and such. If AFFY is able to go through this process, I will consider investing in the next-generation of AFFY.
I do not expect AFFY to resurrect but I am preparing for that eventual outcome. Thank you.
IF and I don't think it (AFFY) will go BK but if it does, then .15 is usually reached on the big DUMP...
I've never been in ANY BK play that has EVER done a RS. WaMu was transfer of shares that was RS like though) It's only needed to stay listed and you go to the stinky pinkies with BK so RS is never ever needed with BK's. They all rise again (if they can) and uplist if needed. Tronox, CPTC, WaMu, VRML, Pilgrams Pride, General Growth. Nope no RS. CPTC went BK a second time but the first time it's low was .25 and it's high 5 bucks. AAMRQ .36 to 4.50 recently...The list goes on and on. It's actually 200+% higher than before they announced BK...Something to think about and why those who know will still hold. =)