"The cynic inside me has always believed that these companies do PPs to enrich their related parties or themselves."
Agreed!!!!!! Apropos to that, when you get the chance, do a little research into the history of AOB (American Oriental Bioengineering). Talk about PP's and, as a result, having tons of money in their coffer? And because of their PP's/dilution, bad investments/no investments, many original investors left for good.
Hey, I guess we all have war stories. AOB was mine.