common sense, page-4

I read slowly!. It took me quite a while to get to page 32 and up to that point I was wondering if it was worth the trouble.But my ‘trouble’ fades into insignificance compared to the subsequent repercussions of one keystroke, the left hand ‘1’ in $0.011.

Let me make it clear. I prefer to see option grants to directors of any company having a strike price which challenges management to maximise the potential of the company. The $0.011 strike compared to the SPP price of $0.07, on face value, doesn’t give the positive lead that I would hope for as a shareholder. But, some of the debate I’ve seen since the EGM announcement has me perplexed.

As a retired part time investor for 40 years, I find suggestions that the corporate governance of PRR is a return to the bad old days and the “worst in the ASX”, genuinely perplexing. I’m no expert, but when I weigh up what I know of management’s efforts to save the company and the improved SP in recent months, I just can’t understand the arguments.

Similarly, I’ve read criticism of a director of PRR for giving what I regard as prompt answers to shareholder questions. And some suggestions of the likely time frame for phase 2b/3 trials, have me wondering if the FDA have changed the rules.

Nothing personal in any of this though, I just don’t agree.

As I see it, PRR shareholders have two clear choices.

If the fundamental potential of PRR was such that you saw fit to be a shareholder prior to the EGM announcement, despite all the undeniable biotech hurdles, then in my view, nothing’s really changed.

But if the strike of director’s options leaves you with overwhelming doubt, then it’s simple. Sell!

I note that some of the most critical contributors to these threads don’t have this choice. They’re not shareholders, (at the moment).

Small cap biotech’s like PRR have history against them. In my experience, most fail. The FDA process is daunting and inexperienced investors should not think otherwise. Unlike most though, PRR is already over many of the hurdles.
On balance, I’m holding.
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We all do our own research and go with our hunches and biases. You’ve just read mine.
It's a worthwhile debate. Good luck all.