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Message: Re: What would an update really tell us?

Great answer SF....and I do understand your frustration. However here's something that may make you feel a bit better.

As per the most recent License Agreement, Eastern is going to be purchasing 5,600,000 shares at $2.67 per once the deal passes regulatory approval. Heplink gets the same deal for 13,270,000, priced at the same $2.67. The warrants are also priced the same, Hepalink's warrants (by my math) are for just over 1 million full shares, in Eastern's case the warrants total 422,004 shares (again by my calculations).

$2.67 is obviously a premium to the current price, reflecting the PPS when the deal was first announced on April 22nd, when we were trading up in the high $2s and still touching $3.

Now....should all investors have access to the same information? Hepalink and Eastern are not buying shares on the open market, they're purchasing their shares and warrants directly from the company, providing the financing that's going to be needed over the next couple of years to advance the business plan and take RVX-208 to trial.

Now the question I would ask is this.....Was this Resverlogix's only option? I would argue that it was not. They could have engaged in a secondary offering, calling on you, me and the rest of the investing public to buy shares. I believe during the early years of this company that's the route they went....and we all know how that worked out for the PPS.

Underwriters and their subordinates are engaged, analysts start hyping to their books, maybe some media outlets are tipped off about a "hot stock", and if it works the PPS rises for a time as the company secures its financing at elevated costs reflected in greater dilution because underwriters and all the rest don't work for free.

Now....in consideration for the size of their investment and providing the funding directly to the company as opposed to going through the open market to purchase shares...Should the likes of Hepalink and Eastern perhaps have access to a higher level of information than the general investing public? It might run counter to my egalitarian principles, but I'm old enough to know the golden rule....he/she with the gold, makes the rules.

I'm bullish because of Eastern and Hepalink's involvement...and if they are privy to some things I'm not, oh well....they have just a tad (sic) more skin in the game than me.

Had they looked things over and then said..."thanks, but we'll pass". Then RVX could have chosen the secondary offering route....and retail holders probably would have been happier in the short term because underwriters (imo) know how to get the retail herd excited, and nothing excites more than a rising PPS.

Day tripping starts tomorrow, heading down east in a week.

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