$PVCT.OB's PVCTP "IPO:" Maxim (update)

The current Maxim presentation of some of the deal terms:

• There appear to be 2 lead investors who would subscribe for one-half of the deal.

• A closing next Wednesday or Thursday,

• A $4 offering price,

• An "at market" conversion ratio, where the ratio is based on the common share price at closing/final pricing of the PVCTP "IPO," and
• i.e., conversion ratio = $4 ÷ closing PVCT.OB share price at PVCTP deal closing
• The conversion ratio may be lower. That is, a higher-than-actual common share price could be used.

• At least 40% warrant coverage at an exercise price of a 10% premium to the offering price
• i.e., $4.40
• The coverage percent may increase.

Management needs to know if it can secure a sufficient number of round lot shareholders to meet the minimum NASDAQ listing requirement. Maxim investment bankers and stock brokers are not directly privy to the company's discussions with prospective PVCTP lead investors, but the underwriter is a management tool for this piece of information discovery. The process to determine if there are 300 round lot shareholders to participate in the PVCTP "IPO," should management ultimately decide to utilize it is what it is. The uncertainty it may cause to the common stock share price in the process is an irritant.

On the topic of the SPA PR, I continue to hold to management's Q3 guidance as my baseline expectation (until I am required my expectation). I am certain to get grief from Hr. Tyrkiet, a chief Investor Village poster, reader of this blog and periodic e-mailer (bring it on Señor Pavo!), about this should no SPA is announced in Q3. Today (last evening to this evening) is Yom Kippur, and I would imagine not an appropriate day on which to issue an important PR.