SSB:
Check out this post that I copied from AOL: Note the info on the "crooks" who purchased the preffered stock last year and then sold it:
"Paracelsus has nothing to do with with Paracelsian, only has a similar name, as far as I know. Paracelsian is developing pharmaceuticals based on researching something like signal transduction aspects of intracellular communication. They have proprietary computer modelling techniques for ferretting out active molecules in potentially therapeutic substances and they have a vast library of Chinese herbs which are the main substances to which they are applying these techniques. This is a sound strategy since these herbs have been used for many hundreds of years and PRLN can't start off being pretty sure of the safety profile and probable areas of therapeutic effect. Then they apply the computer techniques to isolate the most active molecules from which to develop more precise and effective pharmaceuticals. A further advantage is that in some cases it will be the better route to go straight to market with an over the counter product and save 5 or more years and the cost of going through the FDA phase studies. They can do this because of recent legeslation and they are going to do it, they say, in 3/97 with AndroVir a product with good results in studies with AIDS patients and with AndroCar for treatment successful in many kinds of cancer in 7/97. They won't be able to make therapeutic claims but the AIDS community and other alternative approach communities are aware of the good results found so far. Paracelsian could do well given that it will get to market much faster and with much less cost than going through the FDA and if the products continue to get good results the word should travel. That being said it is also the case that you never know about a small development company. They got slaughtered last year by some clever crooks who made a deal to buy a lot of preferred stock and then implemented a procedure in which they made money fast while they were selling the stock down the drain (from 9 to 1) and at the same time diluting it, but at the end they were out and didn't care.
PRLN at 1 may have been one of the great buying opportunities of the year. Its been up to 4.5 since then, after announcements on outcome studies, but now has drifted down to 2. This may still be a great buying opportunity since they will have revenues soon, remarkable for a small, young company, but again not FDA approved medications. But witness how they walked into a set-up last year by these private investors and of course you don't know for sure if some of them were insiders of one type or another. In addition, the major pharmaceuticals have tremendous amounts of money and power and other resources which they often use push around, in many ways, these tiny guys who might be onto something good.
So to "need advice" the conclusion of all this is that Paracelsian has tremendous potential and also great risk. So now you know exactly what to do!! Seriously, if you are a college student with a small amount to invest then this is point to decide whether you are conservative or a risk taker. You could put your money into PRLN and make a bundle over the next few years or lose a lot or all of it (even if they have a good approach and products)."
I own some but a case could be made that I am a contrary indicator. If I don't invest in a case like this the company is sure to rocket up but if I do invest it wallows around and drifts down. My advice: decide if you can tolerate and afford risk, etc., and, if you can, then you still have to make your own decision as to whether PRLN is the place to take the risk. |
