sharescene wins!!, page-22

re: possible buy signal forming I am not sure I'll wade into this battle - I didn't realise there was so much histoy in this stock on this board - now I can see why Jen etc bother to post.

For what it's worth I'll discuss PRR.

Just to update those who don't know Frosty and Peregrine are gone - they were forced to resign from the board or no one whould support the capital raising and QIC were going to sell out.
The new chairman is Eugene Kopp - and has taken 10% of PRR so far through Bluscan - an investment company he runs with the Beville family who are worth 300-500m from Sydney property development. EK used to head up ANZ's M&A business and for the last 5 years has been looking for crapped out companies in need of a turn around. He watch PRR for a while and then joined the board last year and waited. The took part of Peregrine's stake in a private deal with frosty with attaching options (see directors notices - you can work it out from them although you don't know that he buyer was the Beville family). Peregrine agreed to an Escrow on the remainder of their shares (about 3%) for 2 years so they are frozen till late next year. The capital raising was done and was oversubscribed by $4m hence QIC had to buy on market for the size they wanted. Unfortunately some of SCE's underwriters were pretty weak - it seems they and SCE jumped all over it for the 2-4c profit and got their clients to do the same. That said SCE have been buying the stock more recently it seems. Bioshares in Dec recommended it as one of the picks for 2005 but advised that people wait for the capital raising to shake it down to 10-12c area and then accumulate - it seems people have done this. There is obvious tax loss selling and maybe even Peregrine associates still getting out but in the last 6 months since the capital rasing the smell of Perigrine is almost gone - their remaining shares are frozen and associates are out - the board is completely revamped and has money for 18-24months and maybe for ever if just 1 of the 4 products hits a milestone or 2 they can self fund with option excercises (yes it needs to be above 20c late next year for this to happen). The most recent board appointment was also sought by AML but chose PRR - AML has 50m cash lying around and would have been a nice cozy directors job for life - but he chose PRR.

The science through all this corporate crap has powered on with amazing deals signed with AstraZ (news in weeks rather than months) and Zymogenetics. There is another 1-2 deals due to be signed in the next 6 weeks according to the recent broker presentation. They are trying to get 100% of the subsidiaries from the ARI and BioMira are apparently looking to earl or auto elect their option on CancerVac technology. Within 1 week we get BioMira's updated survival data on BLP-25 an apparently inferior use of MUC1 to PRR's.

Arthron will be sold in the next 6-12 months raising a lump of cash at least as big as the whole companies market cap right now.

Take a look at VCR and PBO - at some stage I believe PRR will do the same and the biotech sector is ready to double simply because it is currently half price. We need people to finally get out of their energy and mining spec stocks and move over , we need tax loss selling to end and we need a few shooting stars like VCR/PBO to get peoples interest. All this either is happening or has happened so PRR is a time bomb fundamentally and while it absolutely is in a downtrend it is a technical time bomb too - 10.5 is only 1 decent buyer away and that i the first signal - 13c is just a pod of daytraders picking on a stock away and then it starts a move back to 70c.

To all those who have been negative on PRR for a year now - you were right! So was I - I wanted to buy it at 18c and even when it was 22c but I was busy in my last mining/energy sector trades like NEOO but March was the cross over point to get out of that sector and this is/was the quarter to be buying biotech. PRR is my largest holding but it's the sector you want to be in - I just identified PRR as the one that had changes management, had new buyers and especially insto interest, had raised its capital already, had an amazingly low market cap for the deals it has laready signed and had multiple product lines some of which are already in Phase II.

It's not a HC story - it's a SS story. Over here there is too much it's going to $1 v it's going to 1c.

If anyone wants a copy of the SCE report I'll email it to you - either put your address here or PM me on SS (slayer) but be prepared to read at least 15 pages of a 37 page report.