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Biotech / Medical : Collagen Corp.
CGEN 1.780+7.9%Oct 31 9:30 AM EST

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To: OldAIMGuy who wrote (56)10/5/1997 12:16:00 PM
From: Jonathan Rothschild   of 72
 
Just read their annula report and 10-K. I plan to go to the shareholders' meeting late this month. I can't believe the size of the golden parachute. There's no end to it. Now a consulting agreement. For what? The window for doing an IPO this year is getting smaller as it's difficult to accomplish around the holidays. If they don't do anything, they will lose credibility. There's been a little accumulation recently due to the anticipated IPO or spinoff. They may announce it with earnings on Oct 20 or at the shatreholders' meeting on Oct 29. Or they may say nothing (the most likely case). If the compnay is plit in 2, the stock will pop ( no doubt about it), but how much? Two new product launches with facial implant and AHA cream look promising, especially after looking at their minimum payments for outlicensing. I still don't undertand what they've done with Lipomatrix (halting ZUS trials) while selling the products in Europe. They say they want to get the cost of the shells down, but why I sell it ion th emeantime anyway. They've got to get their G & A figures down.
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