In such situations, a seller wants to show that they have "other options if you don't give me what I want".  A company which has no cash and a pile of account payables to pay immediately, is vulnerable to being viewed negatively by any potential buyer as a "desperate seller", and priced accordingly (the cockroach theory...what else do you have to hide?).  The real art of the deal...to paraphrase someone who is probably the worst deal maker of them all!

The other thing you should take away from this financing is that the minimum bid is going to be C$5.  Of course that sounds too low for all of us (and I am not saying that C$5 is the final price), but why offer a conversion for all "non-insiders" if the expected offer price was not at least C$5?    

Now that I think about it, we may not get too many sellers from all these "non-insider" lottery ticket  winners.  I mean why would they not hold out for what we are waiting for ourselves...yet another win by selling at whatever bid price shows up?  Of course the longer the bid takes to show up, the more nervous all of us will get, and the share price will react accordingly.

As I noted in a post some days back, RVX is probably the best stock in the world to own right now.  At $1.38, it has priced all the bad news in, and with all risks taken out, all I see is upside.