Right after the Mako hit piece I did a little inve
Post# of 72440
Posted On: 06/04/2016 12:03:52 PM
Re: daydreaming2 #23499
Right after the Mako hit piece I did a little investigating on this issue.
"The question: "Would a CUSIP change make the short shares have to cover?"
Seems from what I have read, a CUSIP change could force the cover of NSS positons if the change is done in conjunction with a name change. It is my understanding that the mechanics of the CUSIP change (with name change) would effectively prevent trading shares of the old CUSIP # and would create an entirely new set of shares through the DTC. By doing this, the DTC is forced to account for ALL of the old shares exchanged for the new shares. Without the name change, the old shares would simply be renamed. With the name change, they are physically exchanged which will isolate phantom shares and force covering. "
I actually spoke with Leo and gave him the info. He said he would consult his lawyer.
My opinion is that although it's nearly impossible to deny that there was/is a short group attached to the MakoSA hit piece, Cellceutix feels there is insufficient evidence of NAKED shorting to warrant a relatively inexpensive name change.
Aruda was awarded 16 million shares ( 2 million definitely went to the lawyers who probably sold a sap). Aruda currently shows ~10 million left so that 4 million shares went somewhere. Probably into the supply. CI investments used to show 2 million shares and now shows 0 so that probably went into the supply side as well. The last SEC filing showed Cellceutix raising a few million dollars recently that could have easily gone to the supply side of the equation as well. There is currently not enough money in the bank to complete the ABSSI trial although there is probably enough to start it. Leo has been very careful not to put the company in a do or die cash starved position I expect him to proceed cautiously this time as well. The price has held up amazingly well in the face of these events which I believe is a testament to the strength of Cellceutix drug pipeline.
The Prurisol results were very exciting in the 200mg arm. If they were good enough to excite a potential partner the share price will rise dramatically IMHO.
The start of the phase 3 trial will likely also cause a rise in share price as well.
Wild, as far as entering a good till cancelled order to prevent your shares from being shorted I remember someone posted ( over there) that brokerages were no longer going to allow that through some sort of updated rule. I will look for that further if you want.
Successful drug trials will be the horse that pulls the cart and so far Cellceutix is batting 1000!
"The question: "Would a CUSIP change make the short shares have to cover?"
Seems from what I have read, a CUSIP change could force the cover of NSS positons if the change is done in conjunction with a name change. It is my understanding that the mechanics of the CUSIP change (with name change) would effectively prevent trading shares of the old CUSIP # and would create an entirely new set of shares through the DTC. By doing this, the DTC is forced to account for ALL of the old shares exchanged for the new shares. Without the name change, the old shares would simply be renamed. With the name change, they are physically exchanged which will isolate phantom shares and force covering. "
I actually spoke with Leo and gave him the info. He said he would consult his lawyer.
My opinion is that although it's nearly impossible to deny that there was/is a short group attached to the MakoSA hit piece, Cellceutix feels there is insufficient evidence of NAKED shorting to warrant a relatively inexpensive name change.
Aruda was awarded 16 million shares ( 2 million definitely went to the lawyers who probably sold a sap). Aruda currently shows ~10 million left so that 4 million shares went somewhere. Probably into the supply. CI investments used to show 2 million shares and now shows 0 so that probably went into the supply side as well. The last SEC filing showed Cellceutix raising a few million dollars recently that could have easily gone to the supply side of the equation as well. There is currently not enough money in the bank to complete the ABSSI trial although there is probably enough to start it. Leo has been very careful not to put the company in a do or die cash starved position I expect him to proceed cautiously this time as well. The price has held up amazingly well in the face of these events which I believe is a testament to the strength of Cellceutix drug pipeline.
The Prurisol results were very exciting in the 200mg arm. If they were good enough to excite a potential partner the share price will rise dramatically IMHO.
The start of the phase 3 trial will likely also cause a rise in share price as well.
Wild, as far as entering a good till cancelled order to prevent your shares from being shorted I remember someone posted ( over there) that brokerages were no longer going to allow that through some sort of updated rule. I will look for that further if you want.
Successful drug trials will be the horse that pulls the cart and so far Cellceutix is batting 1000!
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