Thinking of selling some today ....
NVIV - InVivo Therapeutics - Page 2
It is never a bad idea to take some profits especially after such a spectacular jump in the share price.
I sold a small portion of my position and looking for a better entry between $2.00 and $1.50. That being said my core long term position is intact and I feel strongly that by Q4 2012 or Q1 2013 this stock will be trading between $7 and $10. I also prefer to pay long term capital gains tax (15%) and therefore I want to hold my core position for >1 year.
There are $13M warrants that are exercisable at $1.40 and which will be called if the stock trades above $2.80 for 20 trading days. This should raise ~$18M which should be enough to finish the clinical trial and get FDA approval for their first device.
If they execute appropriately much dilution won't be necessary.
As far as the stock price is concerned there needs to be a consolidation between $2.80 and $2.00 for several weeks to form a higher base and support more upside. The churn will weed out the weak hands and allow for a run to $4 on some good news.
For anyone interested in InVivo check out this most recent presentation by the CEO:
Low volume combined with the fact that there is overall market weakness = lower prices.
How low? I'm not sure, but if you are interested in starting a position in this stock I would advise placing a few bids at various levels of support like at $1.90 and $1.75 etc.
The stock is consolidating very nicely at this level which is bullish in my opinion. 2012 should be a great year for InVivo but investors must have patience with biotech stocks.
Nice capital raise at a good price ($2.04) plus warrants with an excercise price at $3.06. This should put a solid floor on the stock between $2 and $3 as we build a higher base.
Also if NVIV trades above $2.80 for 20 consecutive trading days they can call on 12.85M warrants at $1.40 per share and raise another $18M.
This should be enough to pay for general administrative expenses as well as the necessary trials for approval of the first product. Hopefully from their continuing operations can be paid from cashflow.
Looks like the company just acquired another 2mil in working capital yesterday... looking good.
InVivo has the BI report posted on their website. I'll post the link below and an excerpt (emphasis mine). It's as if the publisher of the report read this thread (check my first few posts, it was ALL there!).
What drew me to Invivo Therapeutics Holdings Corp (OTC:NVIV) wasn’t its scientific endeavors so much as the story of Frank Reynolds, its Chairman of the Board, CEO, and CFO…
Mr. Reynolds suffered a paralyzing injury to his spine in Dec 1992. While recovering from this injury he spent years gaining subject matter expertise on the spine and spinal cord. So the CEO is personally vested by experience in what he is developing through the Company he works for.
That may sound like he could be lacking objectivity as a leader; but trust me,this fellow has an academic business pedigree that is impressive and was too long to place here; needless to say that by the time you get down to Wharton Business School; you start to drift...
Warren Buffet always invested in what was significantly personal; he bought Coke because he drank Coke and he bought See’s Candy because he ate See’s Candy and all writers know in their youth ‘write about what you know’and only is it the rare occasion, the auto industry for example, when leadership is sometimes best served by those who know nothing about cars.
NVIV is a development-stage company that is developing and commercializing biopolymer scaffolding devices for the treatment of spinal cord injuries. The devices are meant to protect the damaged spinal cord from further secondary injury and promote neuroplasticity, a process where functional recovery can occur through the rerouting of signalling pathways to the spared healthy tissue.
The Company’s three product candidates in development are: 1) a biocompatible polymer scaffolding device to treat acute Spinal Cord Injury (SCI); 2) a biocompatible hydrogel for local controlled release of methylprednisolone to treat acute SCI; and 3) a biocompatible polymer scaffolding device seeded with chemicals to treat acute and chronic SCI.
The scaffoldings serves as a ladder of sorts for the controlled delivery of anti-inflammatory pharmaceuticals and regenerative cell therapies directly delivered to the injury site. This technology, based on several decades of research at MIT's Langer Lab, has shown effect in preclinical studies at treating the spinal cord and is being advanced into clinical development by NVIV in a clinical-stage pilot study in 2012.
The Company’s latest 10-Q reveals it has cash to fund operations through March 31 ’12 and the Q has all the typical marks of a development company; lots of expenses, operating costs, and the like, but I believe it can survive its development days because its technology is so desperately need and the FDA knows it. A little funding from the National Institute for Health wouldn’t hurt during the NVIV start-up days.
I think the CEO has the passion to take everything forward; step by step…
I wonder why they are only going to try their scaffold device in the first human trial instead of combining the structure with their hydrogel? I don't know a lot of the medical details, but has InVivo said when they plan to test the gel on humans as well? From the investor presentation, it looks like they had given the primates the full treatment, and I'm sure the gel was probably a big success factor in the primate trials... Anyone have any insights?