Acutely Vulnerable to a Predator!, page-100

@pistol08

Thank you for your honesty in sharing this painful experience with all of us.

For what it's worth, I also have my own share of similar experience of bloody hands trying to catch falling knives. As I grow older (and hopefully wiser), I try my best to do this less and less.

Unless the company is a high conviction investment, nowadays I usually retreat and crystallise the loss and try to recoup it elsewhere.

This year, I sold two stocks at a loss only to watch both of them rallying hard not long after I sold to a point where had I held onto them, I would have been able to exit the position at a profit.

I am fine with this outcome because I know that at the time of the sale, I followed my investment process to the dot. At the time, there was not enough clarity for me to be comfortable in continuing to hold the stocks. There were other instances where after I sold, the stocks continued to head south and I managed to preserve my valuable capital for another day.

The problem that I have with MSB as an investment at this very moment is, it is currently chronically underfunded to a point that without the mercy of a partner willing to invest substantial amount of money at a premium price relative to its current price, it faces the possibility of having to sell itself bits by bits (via Kentgrove) such that the value of MSB share will be heavily diluted.

MSB is currently racing against time to secure a partnership deal. In any negotiation, if one party is pressed against time, the other party usually has the upper hand. The party with the upper hand can use various stalling tactics to secure better terms at the expense of the other party.

In my opinion, the science and how many trials are already in Phase 2/3 will not be enough to save MSB from having to dilute itself to secure its immediate future.

All the best with your investment!