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I know this isn't a popular position, but I'm a big fan of the Reg D financing. Why? Because without it, I get the sense that Ancor would have gone out of business. I think it's easy to forget just how grim a time it was when the Reg D deal was struck. The "going concern" issue needed to be addressed, and addressed immediately. Ancor was a company with little revenue and, while they had a great product, revenues from that product were a long way off (look at the last Q if you think I'm wrong). Was the deal a good one for Ancor? Well, we all know the reasons why not, but let's not forget the one reason it was: the company is still in business and, hopefully and finally, poised for the success we've all waited for. Was it painful? Yes. But the stock going to zero would've hurt me more. Anyway, at this point, there's nothing we can do about the Reg D deal now except rail about it.
As for the repricing of the options, well, I sure don't want the engineers to leave so if this is what it takes, bully for Ancor. And Wall Street looking askance at repricing? Well, frankly, Wall Street already looks the other way when it comes to Ancor, and probably will until they get revenues -- or the promise of them. Better to get the repricing done now when no one is looking than later when attention is being paid. At this point does anyone think there's a Wall Street firm out there saying "we were about to start ANCR with a strong buy, but they repriced their options, so we'll wait."
Just my $.02,
the freep |
