and not even worth as much as the lighter if you own 1,000 shares ; )
Featured story tonight. Retailers cannot contain Amazon disruption; hotels are running soft occupancy % due to Airbnb and Yellow Cabs are being hurt by Uber. There is not stopping the coming waves and those who dare to step in front of them will get deservedly drowned.
Dead, goodbye, so long; losers here.
There will be nothing left. Savant will walk away. Money paid for stock will be tied up in litigation for years.
If/when this trades again it will be for pennies and trade for years like that bouncing on each news item but ultimately when the judge bangs his gavel there will be ZIPPO for the current common shareholders. Not much of a loss, except for the momo losers since this was headed for BK in November until Shkreli came up with a new scheme to scalp people; this time he was caught before he could carry it out. I hope he and all the suckers who jumped on this turd learn something.
Nobody knows for sure exactly how much Martin himself put on the table for the private placement since he is a member of Anthion, and the share allocations were not broken out. The fact that he said he WOULD invest $3mm is as good as his word on anything else it seems. What IS a FACT is that the Savant deal has NOT closed, and it is highly unlike that it WILL close. Since most of the excitement in the stock related to the possibilities arising from that deal, as well as all of the financial "stuff" and given that NASDAQ is using its powers to delist as of December 30, I would say that this boat will sink very fast.
Actually, it DOES work like that if the people who purchased the private placement can make a strong case that the offering circular was fraudulant. Same thing with the Savant agreement. If they were given information that turns out to not be true, then they can revoke their agreement. I suggest you read the exhibits to the 8-k filed in regard to this private placement and specifically the actual purchase and sale agreement. Since none of the stock from the placement can have been sold into the market (since it was UNregistered) and since the company presumably still has most or all of the funds, the purchasers of the stock can attempt to get injunctive relief based on blatant fraud and chill the transaction. In any event, let's see how this plays out, but my guess is that the end result will be that the funds will not remain with the company and that the Savant transaction will be voided.
ALL OF THE ABOVE IS MY OPINION BASED ON MY EXPERIENCES IN THE SECURITIES INDUSTRY.
My guess is that the reason the SEC has held up trading is that IN MY OPINION the people who invested in the recent private placement may have grounds to unwind that transaction...and Savant may have grounds to unwind their transaction based on all that has occurred, which they were not aware of. If that were to happen, this would go back to being the sleepy $.44 running out of cash with just a stuttering Phase II product.