They talked about network of doctors and how they covered ALL aspects of product development, production, education of doctors, sales and marketing partnerships ... Honestly! Can you manage to get these seriously busy people like doctors and business leaders from established pharmaceutical companies to give you real attention and commitment if you haven't got a product ready for sale? They haven't even got a product for trials. Surely, when one talks about network of doctors, one should back up with stats like how many doctors and what they are doing with the company. One should provide facts, evidence rather than just making claims.
When the new CEO takes over in May, I hope he would change the culture of the company by Dec. If he cannot affect the change of attitude and coming out clean about details, there is no hope for the share price to recover. However, by coming clean, the CEO will be under enormous pressure as the share price may crash a lot further before it comes around. This is a catch 22! Honesty might not be the best policy in this situation.
The recent gradual down trend has been for so long that it's due for a dramatic change. We have no sustained pop today so this fizzling out indicates the grinding slow drop will continue. AusCann will have about $30 millions in cash after the settlement of the new facility and budget for the fit-out. I believe the share price will hold above 20c for at least 6 more months. If they fail to deliver the hard capsule and start clinical trials by end of 2019, it will be seriously negative. However, if they do manage to meet the target, there will be a significant short term bounce. This is what I'd like to play (not invest).
AC8 Price at posting:
41.0¢ Sentiment: None Disclosure: Not Held
