I became aware of Tengion about a year ago when a dear friend was contemplating bladder removal. The operation was a success, however, it was clear that the alternative Tengion will provide once trials are completed would have been a SUBSTANTIAL improvement. Reason 1: Current methods are risky.
The operation is one that has a high mortality/morbidity rate. Not only does the urinary tract need to be opened, but the intestinal tract. Then the conduit or neo-bladder needs to be fashioned. My friend's operation lasted 11 hours. Using intestinal material for urinary purposes is also fraught with long and short-term side effects.
Reason 2: The market is large.
Although I couldn't find exact data, something on the order of 10,000 cystectomies are performed in the US yearly. That's a very large market.
Reason 3: It looks like the make or break hurdles to the success of the technology have been passed. Several successful surgeries have been performed.
Reason 4: Tengion holds substantial IP, worth far more than the current market cap.
Reason 5: Several large investors stand to lose big money were Tengion to go out of business. It won't take a lot of money for Tengion to continue operations to get them through Phase I on the urinary conduit. The money will come. Too many with deep pockets have a vested interest in the company to see it fail.
All great reasons. These are some of the same reason I picked up share during the IPO. My mistake was buying WAY to early. With that being said I will remind any investor that wants to get involved in TNGN to take a good hard look at the balance sheet. This pig isn't going anywhere anytime soon. Additionally in the time it takes to get FDA approval TNGN will dilute shareholder value with one reverse split after another. They have no current rev. source and wont be bothered to find alternate means of funding knowing they have shareholder money to steal. Please mark this post.
In view of recent investors questions about the value of TNGN stock I am bringing a post I made awhile back up to the top. TNGN is NOT a short-term play. There may be moves to try to get the stock back over $1 by April when it would be otherwise delisted, but I don't expect any large moves until Aug or Sept when certain benchmarks have been completed. I have very little doubt, however, that the technology will advance to product at some point. The approval process is long, but I firmly believe that the major hurdles have been cleared.