Callisto Pharmaceuticals, Inc. (OTC:CLSP) tried to give some energy to its declining stock by announcing the granting of a patent to one of its drugs. Unfortunately, few were impressed by the news and the stock finished the session without a change in the price.
CLSP has been slowly declining since its peak in November. There is no trace of the immense volume as well. One of the clues explaining the downtrend is the fact that CLSP is deeply entangled in various credit documents such as warrants, stock portions, convertible preferred stock. And since there has been no financial reports since November, it is impossible to determine how much of this credit instruments were exercised. [BANNER]
Earlier in February, the company announced it was going to participate in a BIO conference in New York on Feb. 14. Unfortunately, CLSP didn’t publicly reveal any information about the effect of its presentation at the conference and whether it received a positive feedback.
However, it is too early to discard CLSP completely. In fact, it has testified by its participation in the conference that it is not sitting with hands crossed, but is working to achieve something.
Unfortunately, the efforts of CLSP haven’t produced anything to generate revenues so far. Nothing has changed for the better since the last eruption of the stock in November. Therefore, the next try at bringing confidence back to the stock should be testifying the awarded patent with an 8-K form and then start marketing the new drug. But until CLSP starts making some profit, the only way to go forward is to get entangled in debt instruments even deeper, which will additionally undermine the position of shareholders.
