Yes Faith’s stock loses 9% on the Tel Aviv Stock Exchange and completes a downward trend of about 25% since the end of last December. On the same day that the company announced a positive update according to which the Namodenson extends life expectancy in advanced liver patients, we were warned that Faith would take advantage of the increases recorded in the stock and go out to raise capital.
Indeed it was, and the company set out to raise 7.5 million dollars from an institutional body in the US at a discount to the market price.
Yes Fit was established in 2000 based on the research of the CEO, Prof. Panina Fishman from Beilinson Hospital, who discovered a connection between a receptor on the surface of the muscle (A3 Adenosine receptor) and various diseases.
The company does not miss an opportunity to justify the name that stuck to it in the market, the name of someone who rushes to raise money immediately after a jump in the stock, which usually results in a decrease in value and innocent investors who bought the stock because of optimistic news wake up the next morning with a write-off of tens of percent in value.
This was the case, for example, about two years ago when the company raised $5 million at a discount that dropped the stock by 40%, but you don’t have to go that far. About a week ago, the company reported the disappearance of all malignant lesions in an advanced liver cancer patient who participated in a phase 2 trial of the drug Namodenoson. The report boosted the stock by dozens of percent and the company wasted no time making a quick recruitment move. Yes, Faith raised about 10 million dollars the day after the report, which resulted in a 17% drop in the stock. Some of those who bought the stock with the happy announcement apparently lost part of their investment, and so the company continues again and again. you have been warned.