I read this on the Tradingchief site and thought this was well worth a read by everyone on this board wondering about our current shareprice situation. I hope Chief does not mind me posting his comments here.

This was inresponse to a post by roos on hearing the investment houses that are picking up the new pp are shorting stock right now and this is chiefs explaination of what they are doing... totally makes sense.

1)CEO-CFO puts the word out they need financing
2) Bay street and Howe get word of it and do an organized run up on the stock
3) 3-4 bagger on news is not normal
4) They run the stock to 6 bagger on some actual news
5) They sell short the 2.50-3.00 range and are still trying to unload the 5-6 bagger they made.
The deal will be done at 2.80
What you have to appreciate is many people were sitting on this at under 80c for a longtime with no liquidity.
Some of the selected PPers are probably still short, they look at the bias of the stock, and if it is down the continue to pressure the stock. The idea is to make money on what you have now not what is coming.
Then when the stock has been exhausted. They will cover there shorts, buy longs, and announce they are going ahead with the PP. The Bulletin boards then start the buzz "man these guys really want a piece of us" to pay that much "to da moon". Stock zooms up to 2.70-80 rumors of another NR come out and these guy pocket the trade from 2.00 to 2.80

Now they are sitting with a $2.80 PP with tax writeoffs that buy the PP to $1.68, they have made a $1.00 shorting the $3.00 point, 70c longing $2.00 point, and now have shares for free

Phats...(Sean)