million shares on the market. That’s quite an unusual value for GNTA and we can assume that something must have provoked the high trade.The most astonishing fact here is that Genta has not released any news about its business since mid-November when the company filed its financial report. A while after that, Genta invited its stockholders to a Special Meeting on December 29 to discuss the two reverse stock splits of the company’s outstanding common stock and to approve the increasing of the number of authorized shares.
Last month, Genta reported it has completed enrollment in a randomized, double-blind Phase 3 study of Genasense® in patients with advanced melanoma, known as “AGENDA” and the final data on the survival and durable response from AGENDA is expected in the first half of the next year.[BANNER]
These days, no details about Genta’s activities have been announced, apart from the discussions on investorshub.com message board. According to these, there are now 144900 shorted shares, up from 122000, and “With 2 reverse splits coming the stock is gonna tank big time just like the last time”. Traders claim Genta has been selling billions of billions of shares since last year, which is probably the reason for the current up move. However, it’s too soon for further conclusions at this point.
Genta Incorporated is a biopharmaceutical company engaged in pharmaceutical research and development. In April this year, GNTA stock price exceeded $15.00 per share, however, since then it has fallen down significantly.
According to its 10-Q report, Genta’s revenues have increased, as well as its operating loss. The company hasn’t covered its long-term liabilities yet and its accumulated deficit is higher than $1 million. Since inception Genta has had recurring annual operating losses and negative cash flows from operations and the losses are expected to continue “at least until one or more of its product candidates are approved by one or more regulatory authorities for commercial sale in one or more indications”.
The management claims that with no further financing, the company will run out of funds in the second quarter of 2011. In that case Genta should either search for some additional financing, or find a way to get profitable.
