Never, ever sit back and relax on your haunches with RBM. This announcement of another dilution of shares up to 4,000,000 (that's 4 million) for $2M cash is a big disappointment. If it means sink or swim, then that's the penalty for all of us long term owners of the stock.
Expect a drop tomorrow. I care but won't it be nice if at some time in the history of RBM it won't be needing to get seed money at the expense of current investors? The company appears to have a virtually unlimited ability to go to the well to finance operations. Eventually, we must all dearly hope, operations will start paying us back.
VANCOUVER, Dec. 14 /CNW/ - Response Biomedical Corp. (TSX-V: RBM, OTCBB: RPBIF), announced today that it is undertaking a non-brokered private placement of up to 4,000,000 units at a price of $0.50 per unit, each unit consisting of one common share and one-half of one common share purchase warrant. Each whole warrant shall entitle the holder thereof to purchase one common share of the Company at a price of $0.70 per share for a period of 24 months from the closing date of the private placement. Shares and warrants will be subject to a four month hold period from the date of close.
"We are focused on concluding international distribution agreements for our RAMP cardiovascular products, advancing product development and commercialization programs with 3M, Roche Diagnostics and Shionogi, and the research and development of both a Flu A and Avian Flu rapid test," said Bill Radvak, President and Chief Executive Officer. "The proceeds of this financing will be invested in the necessary infrastructure, personnel and licensing fees to compete in the point-of-care cardiovascular and clinical infectious disease diagnostic markets worldwide." |
