I�m almsot sure the EMEA wants so see the company that is about to have a drug approved to have some kind of solid financing and a clear path to taking the drug to the marketplace. There are probably questions in the centralized procedure (180 day list of outstanding issues)when it comes to marketing issues etc. I guess this financing could be part of that.
Hey, it�s only a small % dilution. Today was an overreaction. We will see some nice rebound tomorrow.
i estimate the dilution was about 8% -- 3.3 million new shares added to an existing base of 42.2 million shares, bringing us up to 45.5 million shares outstanding. so we go up 30% based on the ceplene news (that we already knew about), then close down 10% on the offering news -- a 40% price swing based on 8% dilution. i say it is a major overreaction, but i have clearly been wrong about this stock before. hopefully, jack has some explaination for this at tomorrow's conference that will give us a bounce back up.
i guess this explains the funky trading in the last week leading up to the pricing of the offering.
i'm off with the share count / dilution calc. i just looked at the final prospectus filed by epct in connection with the recent shelf takedown, and it shows total shares outstanding following the offering as 47,533,314. of course, this excludes all of the warrants convertible into common. based on the closing price of $1.44, this translates to a market capitalization of approx. $68.5 million.
either way, it is still chump change. check us out in a couple of quarters -- lot's of good stuff in the pipe. hang on, longs. don't get discouraged and sell now. IMO 2008 will be a BIG year for epct.