Risk management. Liquidity. Working capital. Relying on expected...

Risk management. Liquidity. Working capital. Relying on expected R&D funds and hoping everything goes to plan, especially when trying to negotiate deals, or attract further capital, or simply grow the business with low cash levels is not easy, especially when the direction of the company and end result is not certain.

This is compounded when you are trying to negotiate or attract capital and the market dynamics mean that the spread on a single pip can be a 50% gain or loss. What soph or insto participates in a raise that by the time the shares are issued could result in a 50% loss simply due to the pricing dynamics? It's not easy stuff.

Also I'm sure you have heard of the term, sell the news, sometimes expectation has more pricing power.

There's numerous reasons why.