There is a double standard when it comes to sharing an investment idea. All corporate communications released to the public have to be reviewed by SEC attorneys before it can be reported in a public statement or conference call. The shorts however can write, say, or print anything they want. The do not have SEC, FINRA, the FDA or legal counsel to answer to. In fact they have no regulation period. They control their own narrative which means they can control the media, the timing of the release whether it’s factual or not and can leave massive doubt in the minds of the shareholders. Why? Because they want to scare the long holders into selling their shares, so the shorts can cover their positions they sold at higher prices, why, for profit over and over again. Why attack a small pharmaceutical company? It takes on average 10 – 12 years and 2-3 billion dollars today to get a drug on the market. So a young company must spend massive amounts of money and time to reach success, and the shorts prey on this, so when they are forced to do a financing they crush the stock, and by cheap reduced priced shares in the offering.
Why do the shorts continue to say there will be another financing on this company? So they get longs nervous about dilution, and they sell. AMPE has stated that they have enough capital to get by until the 2nd quarter of 2019, on their 10-K filing. Nothing precludes them from doing a debt deal which wouldn’t require any shares or be subject to dilution. It would be structured as a note that pays an interest rate and has a termination date for repayment. Ampio could easily do this with numerous entities or individuals. The New York Stock Exchange (NYSE) establishes a required debt/equity ratio. If they sit on the cash they raise they can comply with the requirements and the only real cost is the interest on the money. Furthermore, they could do a license agreement with big pharma or an investment group and sold bring in millions of non-dilutive cash. The shorts will never tell you this. They must create fear, doubt, and uncertainty (NYSEARCA:FUD) not reality. Cash is a great thing to have but it’s not as critical as the shorts claim.
Why is it that the shorts always seem to put out a negative story every month at the same time the short position is reported to the market place? Do you think it might be that they want to force the share price lower before the filing?
History teaches us an interesting lesson. On December 14 , 2017 the company released clinical trial data for KL-4 patients which was the best data in the company’s history but the NY Stock Exchange reported that 6 million shares were traded naked short on the stock. To grasp the magnitude of this short position we should look at the term called “fail to deliver.” In Wikipedia “fail to deliver” means the inability of a party to deliver a tradeable asset, or meet a contractual obligation. A typical example is the failure to deliver shares as part of the short sale transaction. These statements are both public information, and in the months of March 2018, that AMPE had “Failure to delivers of 10,680,000, that s right millions. Even if it was only 1 share per contract, the number is staggering, for that month Coke in comparison had 18,000. Do you see what the shorts do? They will destroy a working, progressive, positive, and needed drug company, all for profit, not for the betterment of humanity and health.
It’s time to talk about DARK POOLS. Most people reading this will have no idea what I am referencing, but there are approximately 40 stock exchanges that trade all sorts of stocks and bonds. The key, they are non-reportable to anyone. These outlaws trade mostly on the short side and mostly illegally on small companies, such as AMPE. With the contract we have as a recourse, the guess of short position, in the dark pools is between 30 – 40 million illegal un-issued short shares. These are basically fake shares. The company, fully diluted has roughly 100 million shares outstanding. The rue reported short, is roughly 9 million shares. So in theory this stock has over of all legal shares shorted!!! There is also near a million shares that could be exercised by April 20th 2018 with open options that are available. The reason this is important is because those option contracts are still open and could be exercised causing the option makers to dive into the market to buy them to fulfill their obligation to sell it. This could cause a big financial loss to the shorts and they have not mitigated.
The trial data is excellent and if you compare AMPE to the other 8 drug manufacturers that have an OAK drug none can hold a candle to Ampion. None of these companies have ever met their endpoint with the exception of one. The one that did meet it is a combination of cortisone/hyaluronic acid, which numerous agencies have state are a failure and do more damage than good. The other pharmas have never even included a KL-4 patient, which is bon on bone in their clinical trials because they could barely get the KL-1, KL-2, and KL-3 patients to find relief. Do these companies have any pivotal results? Sorry but there is no data. At least with AMPE, over 2000 patients were injected and no one significant side effect. The drugs being used today have had multiple side effects and infections and have failed in a certain patient population over and over, but since there is no current effective drug for the worst patients today, they give the OPIATE drugs. No we have a country of patients with Osteoarthritis of the knee and other areas which are drug addicts. Ampion is an all-natural drug as opposed to the synthetic drugs on the market. It make much more sense to take an all- natural drug derived from human blood rather than injecting a bunch of poisonous synthetics.
Yesterday the company issued a press release that indicated the company is in full discussion with the FDA regarding the BLA application. This was a welcome surprise and means that takeover developments and buyout talks are heating up.
AMPE doesn’t need more capital – they just need to do a deal.
AMPE is SAFE with over 2000 patients injected and not one adverse side effect
Independent Evaluation report with leading experts in the world on market projections and valuations is used by every large pharma doing do diligence. The number is in the billions!
The most well-know DDA team in the world is Parexel and AMPE has hired them and they are breaking down barriers very quickly and moving the process forward.
The recent Knee Replacement data highlighted that Total Knee Replacement could be avoided. Results were statistically relevant.
Multiple NDA are signed with the leading biotech firms looking to do a deal.
Hogan Lovell is one of the top patent attorneys in the United States
Why would all these high profile and respected groups have anything to do with a bas company.
Long and strong with a $30 price target. This is not a misprint. The market is that far out of whack.
Disclosure: I am/we are long AMPE.