Sunshine Heart (SSH) Equity Raise Looks in the Offing as Cash Runs Low
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After surging 132 percent this week alone, Sunshine Heart Inc. (Nasdaq: SSH) has grabbed a lot of attention lately among the momentum crowd. Now press coverage from its new found fame could suggest the company is in the market looking to raise much-needed cash.
Today's Reuters covered the company and its heart failure treatment. In the article there is a discussion about possible fund raising: "I would not be surprised if the reason the stock is higher is because they are on the road, fundraising for the pivotal trial of their heart device," independent medical device analyst Suraj Kalia told Reuters.
Cash is running low for the company, so a fund raise looks necessary at this point.
As of the latest quarter (March 31, 2012), the company had $3.8 million in cash after using $4.8 million during the quarter for operating activities. They had $2.73 million less cash at the end of the quarter despite raising $2.061 million from the sale of common stock.
In it recent 10-Q filing the company warned investors that they only have enough cash for the first half of 2012 and said they would require additional financing within the next three months to sufficiently fund operations.
With cash dwindling, a stock offering looks in the card. The question now is: how much of a discount will it be? - and - will the stock recovery?.
Shares of SSH are up 8 percent into the close.
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Today's Reuters covered the company and its heart failure treatment. In the article there is a discussion about possible fund raising: "I would not be surprised if the reason the stock is higher is because they are on the road, fundraising for the pivotal trial of their heart device," independent medical device analyst Suraj Kalia told Reuters.
Cash is running low for the company, so a fund raise looks necessary at this point.
As of the latest quarter (March 31, 2012), the company had $3.8 million in cash after using $4.8 million during the quarter for operating activities. They had $2.73 million less cash at the end of the quarter despite raising $2.061 million from the sale of common stock.
In it recent 10-Q filing the company warned investors that they only have enough cash for the first half of 2012 and said they would require additional financing within the next three months to sufficiently fund operations.
With cash dwindling, a stock offering looks in the card. The question now is: how much of a discount will it be? - and - will the stock recovery?.
Shares of SSH are up 8 percent into the close.
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