Quote: As of February 28, 2025, CytoDyn Inc. had
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Posted On: 05/16/2025 9:38:31 AM
Quote:
As of February 28, 2025, CytoDyn Inc. had approximately 224 million warrants outstanding, with a weighted average exercise price of $0.25 per share and an average remaining term of 3.87 years.
The exercise prices of these warrants vary, ranging from $0.09387 to $1.00 per share,
As the share price goes up and the warrants near expiration the more likely they'll be exercised. If all those shares are exercised that's $56 million for the company. A tidy little sum to advance trials.
Response:
With an average of 3.87 years, it is not highly likely that many warrants except those about to expire will be exercised. Likely reason is that it is free to hold warrants while waiting for a large price rise. Warrant holders may already have shares that are in their accounts so no need to exercise warrants with a number of unsold shares in their accounts. Also, the company has offered many warrant inducements which lowers conversion costs so investors have been conditioned to wait for those offers (rather than exercising warrants with time left on them).
Interestingly, I don’t think the company has done any raises since last July when the first truanch of the Amerex settlement was paid and the warrant inducement money came in. Hopefully that means there will be an upfront payment for a partnership or an expectation of a big price increase or both which is why there has not been any fundraising since last July.
All IMO
As of February 28, 2025, CytoDyn Inc. had approximately 224 million warrants outstanding, with a weighted average exercise price of $0.25 per share and an average remaining term of 3.87 years.
The exercise prices of these warrants vary, ranging from $0.09387 to $1.00 per share,
As the share price goes up and the warrants near expiration the more likely they'll be exercised. If all those shares are exercised that's $56 million for the company. A tidy little sum to advance trials.
Response:
With an average of 3.87 years, it is not highly likely that many warrants except those about to expire will be exercised. Likely reason is that it is free to hold warrants while waiting for a large price rise. Warrant holders may already have shares that are in their accounts so no need to exercise warrants with a number of unsold shares in their accounts. Also, the company has offered many warrant inducements which lowers conversion costs so investors have been conditioned to wait for those offers (rather than exercising warrants with time left on them).
Interestingly, I don’t think the company has done any raises since last July when the first truanch of the Amerex settlement was paid and the warrant inducement money came in. Hopefully that means there will be an upfront payment for a partnership or an expectation of a big price increase or both which is why there has not been any fundraising since last July.
All IMO
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