Please clean up your language a little. Just
because you haven't made a mint in 18 months on this
stock is not a good reason to say the stock is trash. A
fair number of those "internet" stocks that you are
using as examples shot way up, and then fell hard.
By the way, how do you figure this stock "only makes
money for the insiders"? What insiders? What
Every insider trade I saw was a purchase, that doesn't
make money for anyone.
Stock performance has
little, if anything, to do with actual company
performance. Yet, people like you continue to trash the stock
because you couldn't make a quick buck. Get real. Better
yet, go to the stockholder's meeting and express your
dissatisfaction. That would at least be a useful way to deal with
I cheer BBI with finally doing something to
create value with their drug development division.
Everyone knew it did not belong under the roof of BBI and
was detracting from the value of the stock. Now
hopefully Panacos will be able to prosper by itself and BBI
will profit as a result. A portion of something big is
better than a large part of something small!
3000 Dundee Road, Suite
Northbrook, IL 60062
Typical Investment: $500,000 to $10 million
of Company Desired: Late Stage, prefer product to be
at least in beta testing.
Recent Technology Investments: Terraglobal (CA:
Convergence Technology), On Demand Video (CA: Accelerated
Video Duplication Technology), Various software and
All CPA's with variou business, tax, financial
planning and audit backgrounds.
Investment Capital Under Management: $100 million
of Funding: Institutions and private
Contact: Rich Winters
Does anybody have any additional information on
the Paradigm Group?
If seems to me that if
there was some great "secret" out there that the
Paradigm Group knows about and wishes to capitalize upon
by their "investment" in BBI, that other people
would know about it, too. Think about it. BBI has gone
on these public presentations to try to pump up
their stock (for example, the Boston BioTech
Conference). If their story was so great, I would expect other
investment funds to jump in, too. So the question remains,
why the Paradigm Group.
other investments has this investment group made? Are
they speculative, high risk investments? I wouldn't be
surprised if they are. After all, there are people out
there who have alot of cash in their portfolio who turn
it over to investment groups which specialize in
identifying investments with big Vegas style risks and
Paradigm Group - are you out there? What
can you tell us about yourselve?
I agree that it is a win-win situation for BBII.
Either way they are going to get money, obviously more
if those warrants are purchased. I guess I am just
worried about the potential for the shares being diluted
and if the warrants are purchased if they would be
sold soon after if the stock does make a small run
upward. I suppose I may be thinking irrationally.
I don't think I understand what you mean by the
small stockholder. A shareholder is a shareholder is a
shareholder. If the warrants are exercised several things have
1. the stock price is higher or the warrants would
not have been exercised
2. BBII gets over $2
million (which helps their balance sheet)
3. There is
a higher float which helps liuidity in the
4. The is another very sophisticated shareholder
If the warrants are not exercised, then BBI keeps
the $ from the sale of the warrants (however much
Any way this turns out, I think the
investment community should take away the message that a
sophisticated investor is willing ot plunk down good money to
potentially buy shares that are at a premium to current
market value. He obviously believes the stock is capable
of going higher over the near term which should be a
plus for any shareholder, small or not.
So, either 1. they are going to exercise the
warrants and thus have more BBII stock floating around or
2. they won't exercise them which means whatever
they expected to happen in a period of six months
never happened. I am sure it is good for both
companies, but it doesn't seem to have much of a plus side
for the small stock holder.
BBI's debt has not increased significantly since
the beginning of the year but I agree their balance
sheet would look better with more cash.
clear the warrant purchasers felt they were getting
cheap stock and this is bullish for the near term price
of the stock. Even if the investors paid $100K, why
throw this $ away for a 6-month warrant if they didn't
think the stock would go up.
BBI is putting a
lot of $ in their R&D projects. Cleary, the reason to
invest in BBI is for these projects and their potential
There are two things that stick out from the 10-Q
filing for me:
1. BBII seems to be going for
market share in its clinical laboratory testing area. As
their cost of services line, over last year, has
increased $800,000 and their revenues have increased
$700,000, I question whether or not they really wanted to
2. They have increased spending in
R&D by about $400,000 over a year ago.
Neither of these is necessarily good or bad. The R&D
spending is generally considered "good" in a corporate
atmosphere because it focuses on the future. Also, we know
BBII has two very big research projects going on that
should be taking considerable resources. I am much more
concerned about the services end. It is considered "good"
to get a higher percentage of market share, but
losing out on your bottom line is not really that good a
deal. I don't expect costs for doing something to rise
at a larger rate than you take in. Losing an
additional $100,000 because you lowered you price to gain
market share wouldn't appear to be very smart. I just
don't know why they would do this.
By the way,
I don't think the company has ever, or seems to be
planning to, give dividends. As for why they sent out a
press release, why not? I have heard a lot of people on
this board complain that not enough information was
getting out. Are you now complaining that too much is
being sent out?