One or several of Cardicas large investors (internal) could back a line of credit or buy debt from CRDC in the range of 25M. This debt would however not be drawn apon and would remain as a backdrop similar to what FED did to all big banks.....gave them cheap cash they couldnt use....this action would create stability and remove percieved risk. This would in turn raise the stock price which could enable CRDC to issue shares at a better price. This would in turn fortify their balance sheet more all the while never drawing upon the 25M loan. Now if some insider would do this?
Other ideas previously mentioned include selling their patents and buisness product line of the c-port and passport.
Of course, the "easy" way to fix things would be to do a reverse split then a cash raise at higher prices. A 6 for 1 split at this price, for instance, would put this at $4.14. This would reduce the o/s shares to a little over 6M. Then they do an offering of about 6M shares at around $3.85 and raise $23-24M. This would solve several problems: first, it would ensure they have enough cash not just to FDA approval in Sept/Oct next year, but also it would help cover additional time needed if they have yet another set back (likely), as well as help get them past approval and to U.S. launch as well. Second, it would help boost the market cap back over $50M (it sits now at about $25), hopefully for long enough to remove the delisting warning. Third, it would keep the price above a $1 so we don't get yet another delisting warning.
Now of course this is no panacea. A reverse split followed by 100% dilution basically f***s over current shareholders. Not to mention, any equity raise would likely have to include non-shareholder friendly warrants. But if all goes well for once and they actually get to approval next year, current shareholders might still be able to break even if they double down following this r/s and equity raise. Of course there's no guarantee this move will do anything but further postpone the inevitable here. It's dangerous to assume Cardica will meet further milestones and make FDA approval next year. But for anyone deep enough in the hole in this POS, what other choice is there?
If Applied Medical ultimately swallows CRDC for a low ball price, collusion would have to be
analyzed. Too many stars have been aligned at perfect timing for this to be coincidental. Hillal
and Hausen probably planned this out in 2011. Never ending trial.....Never ending iterations......
Commencement of IPO for po'd Applied Med. shareholders. etc.etc.etc.