This was already a penny stock by all counts and the firm took in $6 million in gross proceeds. was priced at a 22% discount of Wednesday’s close. The company’s share price was at $0.40 and that right where shares are now trading. Shares posted what appears to be all-time low of $0.39 this morning and the 52-week high is $2.08.
Neostem shares have been around for more than a decade and shares used to trade at exponentially higher prices. This is one of those offering that feels like when you get cleaned out by the Blackjack dealer and they say “Thank you for playing.”
Without considering the effects of today’s awful share offering, Yahoo! Finance lists the market cap as being a mere $45 million and its net tangible assets at the end of 2011 were listed as a mere $607,000 after having had negative net tangible assets in each of the two prior years.
JON C. OGG