actually most deals have a "bought" component - investment banks rarely take any risk, they canvas investors, usually do a road show of company first and find out what demand is for a deal and only then "underwrite" a deal ....
again, I stress check the 3B filings of any company you want to invest in and see how many unlisted securities there are and how many placements have been made to "advisors" and the like .... tight registers are bad for liquidity but usually very good for performance.
the real and relative market caps are the key metrics to consider - fully diluted CPH now has a market cap of $130 Mill .... ComSec website for instance quotes it at $85Mill - that is a big difference.
A better example is THC which at $0.815 has a market cap of circa $150 Mill fully diluted !! that is nuts for a company that doesn't much exist apart from a small (7 staff i think) plumbing sales business in Canada
My opinion, keep to the business with proper business models and existing business and especially ones with links to medical community ....
CPH Price at posting:
96.0¢ Sentiment: Hold Disclosure: Held
