Which broker would put their hand up to underwrite a new issue...

Which broker would put their hand up to underwrite a new issue for this company?

Bell Potter and Shaw & Partners are unlikely to be interested given that their clients will all be nursing big hangovers.

In the situation where the company is living on borrowings - yet they have got NEGATIVE net cash -no broker with a functioning brain would offer to raise money unless the issue price is screamingly cheap.

Yeah I mean real cheap - like 10-12c or thereabouts.

And when everyone has to stump up more money, there will be another avalanche of selling in order to fund new shares without having to find "extra" cash.

Dilution is a real problem for companies like this and many of the junior miners and its the reason why they never - or very rarely - produce the returns that the promoters suggest with their discounted cashflow valuations.

Avoid like the plague until after they have sorted out their finances.

All the geniuses crowing about their purchases at 16c may have a lesson coming.............

Just wait a little longer and it will all unfold as above unless they can pull off a miracle and sell an asset.

Given the time its taken, I would bet that nobody is actually interested in the oncology assets!

What a journey this has been.

A supposedly great drug discovery company has been reduced to a day traders plaything - enjoy yourselves boys and girls!!!!!