ABAX --- lots of upside Message Board

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Biotech / Medical : ABAX --- lots of upside

ABAX 83.00

0.0%

Aug 1 5:00 PM EST

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To: burner who wrote (422)	4/7/1998 11:39:00 PM
From: Yo Yo	Read Replies (2) of 492

Dan, IDEXX is only in veterinary market aren't they? What about human market competition? We all know they have competitors. Dade-Behring has been selling their unit into the human market for 12 years with significant penetration (and with cheaper disks). Gamera Bioscience is expected to be selling their significantly lower priced unit and disks to the human market some time this year too. Why would CEO prefer dilution through a private placement to debt? That doesn't any good business sense if they think they are on the verge of succeeding. They currently have no debt. Where is the leverage? Also, who would pay a premium? Most private placements end up giving the stock away at a 20% discount. At least they could consider convertible debt. CEO owns almost no stock (less than 1% of company) and pays himself $160,000 per year while they are bleeding cash. He has minimal interest in avoiding dilution. Analyzer sales are only up 20% since the March '97 quarter, if that's all the growth they can handle, I would be concerned. I think the only constraint is with disk production only. Something may be brewing at the company, but it smell like they're hyping the stock for the upcoming secondary offering. I'd like to be wrong, but that's just the way this one shapes up. Maybe they can get a short term pop out of the stock from the new Investor Relations blitz. I think I'll give the company a call. Yo Yo

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