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Biotech / Medical : PARANOID! TIRED OF TALKING TO YOURSELF? LET'S TALK(TTP) -- Ignore unavailable to you. Want to Upgrade?

To: Arthur Radley who wrote (248)	1/20/1999 9:39:00 AM
From: Biomaven	Read Replies (4) \| Respond to of 626

TexasDude, With the warrant exercise price close on double the current stock price and only a few years left on their life, I don't see them as a significant valuation issue. They are only a problem for overly-naive analysts who basically lump any and all warrants in with the common and call the resultant number "fully diluted." By my calculations the warrants are currently worth around $1 each (assuming 75% stock price volatility), and so only add around $7m to the current market cap. If they were closer to the strike price, the company could reduce the price some in exchange for immediate exercise, thus getting rid of the warrants and getting some cash at the same time (like LGND recently did). This isn't feasible with the current stock price, though. Peter