I really can't say what drove the price up before, but it's very possible that this could work out positively for GNVC investors. Why? Because it appears that XON has the funding needed to bring GNVC's drugs through trials, while GNVC essentially had them on hold. Sure, investors would make more if the drugs were successful without the buyout, but the likelihood was that the drugs would sit until GNVC either partnered, or developed a revenue stream that supported development, that could be many years.
I don't know that XON will move the likes of the RSV Vaccine, etc into the clinic immediately, but with a fresh set of eyes looking at what they're doing, perhaps the development of one or more of their drugs will be accelerated far more than if nothing happened.
I frankly will not have many shares of XON when this plays itself out, having been through 2 reverse splits with GNVC, but I do intend to keep what I have, and perhaps add a few over time. Right now I believe it's fairly priced, but believe that IMGN is greatly under-priced, if I were making a substantial investment, it would be in IMGN, and perhaps some more OWCP which has recently made a nice move, but could go far further if Trump removes Federal restrictions on cannabis based drugs. I'm frankly ahead in recent GNVC buys, but have sold off the shares that are down so far for tax losers over the years.
Gary |
