Interesting, and of course one should expect this pattern when the price is artificially being held in a range - the question is, what usually happens after a private placement closes and is fully assigned?

For comparison,

ATV did a private placement announced Dec 5 2006

The ATV stock price was initially glued to the private placement price of $0.10 - makes sense - why pay for a share when you can buy a share and a warrant for the same price? After the placement ended, all concerned have the incentive to create some enthusiasm and/or action, and in the next 6 weeks the stock rallied 80%.

The stock is significantly higher than that now.

Companies don't like to issue PP shares and then have them sink, if they're honest companies. They know they will have to go back to the well eventually, so they want a good track record.

There are different flavours of Private Placements - flow-through, different holding periods, different right/warrants structures.

I am telling myself to be patient. If you look at the Level 2 bids, the downside seems to be very well protected against. I don't know if that is instiutions, retail or the Market Maker, but it seems to be in order.

Now if I can just listen to my own advice.