If we take the worst case scenario, ie full dilution of 35% the market values avx at 61c per share post phase IIb results.
Pre results but with the capital raising, ie pre result share price 68c, full dilution would have resulted in a share price of 44c.
The market has therefore valued the phase IIb results at 17c ps or a 38% increase.
Im not complaining… 38% increase is great…. However I would have thought it warranted more than that… given that prior to the successful results the company technically had nothing but hope, now they have a real drug with a very real probability of commercialization.
AVX Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
