# ProMetic Life Sciences Inc. (PLI.TO)



## Ice Cream (Apr 22, 2013)

Just wondering if anyone knows anything about this one. It's been getting a lot of volume and been rising.


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## Toronto.gal (Jan 8, 2010)

What do you know about it/how did you find it/why are you interested?

I don't know this company, but can tell you that prices rise big due to momentum, ie: drug candidates advancing from pre-clinical to clinical trial stages [as is the case here], and other news. And they also fall hard on negative news/profit booking, etc. 
http://www.prometic.com/en/news-events/press-release-prometics-lead-drug-candidate-pbi-4050-785.php

Other events you can read about here, which might explain the rise in volume [interest].
http://www.prometic.com/en/news-events/press-releases.php

I would like to caution you, to be very careful not to start a position, or at least not a big one, at a 52 week high [YTD =220%], as these biotech prices can easily drop 50%+ in a day. 

One of my biotechs rose 150% in one day, but also have those that dropped 70% in less than an hour [I was never down by that much however, thanks to my ALWAYS very low entry prices].

*Edit:* you might want to study the price chart of the reverse, ie: not the rise, but the drop. Go back to Jan.2011 for DNDN. 
https://www.google.ca/finance?client=ob&q=NASDAQ:DNDN


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## Ice Cream (Apr 22, 2013)

Thanks T.G.,

I looked it up because I noticed that it was on the TSX's top stock quote list(seemed kind of out of place). So I looked for news and found that they got a loan for 10M, then got something that they had been working on into a "clinical program".

I was just curious to see if anyone had been watching it or knew anything more about it.


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## Toronto.gal (Jan 8, 2010)

Like I said, be careful IC, and if you're a new investor, this should be the last sector to start with. 

When I wrote the above post last Friday morning, the stock was trading at $.91 cents and closed around -9%; today's low hit $.75, so just since last Friday, the stock is down by double digits. It could have gone the other way also, but just know the risks involved.


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## james4beach (Nov 15, 2012)

PLI only got my attention because my it showed up in my (semi-automatically-generated) portfolio

It's currently hitting new multi-year highs, and for instance today it's up strongly on volume of 7 million shares, which is extremely high volume for a US holiday. TSX volume is very low today.

The company's now up to $2 billion market cap and is out of penny stock territory. I wonder if anyone else holds it?


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## Eder (Feb 16, 2011)

I recently bought in at $2.73 on advice of my banker future son in law. He works for RBC...the 1 year target is $4 but rumors of a Nasdaq listing next year might give the greater fool theorem a work out.


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## james4beach (Nov 15, 2012)

I opened my position at $2.25 in June and I'll re-evaluate in December to decide whether I keep it


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## humble_pie (Jun 7, 2009)

james4beach said:


> PLI only got my attention because my it showed up in my (semi-automatically-generated) portfolio
> 
> It's currently hitting new multi-year highs, and for instance today it's up strongly on volume of 7 million shares, which is extremely high volume for a US holiday. TSX volume is very low today.
> 
> The company's now up to $2 billion market cap and is out of penny stock territory. I wonder if anyone else holds it?



ottomh i don't hold, never held, don't follow this company. But the profile looks intriguing. Why would you contemplate selling in december? i know you have some sort of auto 6 month review but surely it can be tweaked.

one sees the presence of old marleau lemire in contemporary Prometic. Marleau was a quebec broker known for underwriting/promoting new entrepreneurial quebec IPOs. In his heyday hubert marleau was said to be very successful. 

if it were myself, i'd definitely look up insider trading in the SEDI archives, to see who's holding what in PLI. Chances are the insiders are a few smallish professional managers.

instead of dumping prometic in december, here's a daring thought. Once you have an idea (preceding paragraph) who your fellow investors are, what about possibly acquiring another couple hundred shares? there's a distinct montreal school of small-cap investing that survives to this day. It was originally out of edinburgh global managers, i believe. This school believes in averaging *up* not down.

best of luck.


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## lostwords (Feb 21, 2014)

I had this stock when it was down to $1. Sold it when it reach $2. Meant to get back in when it was below $2 but every time that happened, I was low on cash


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## noobs (Sep 27, 2015)

Friends are mentioning this company so I`m gonna look it up


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## CPA Candidate (Dec 15, 2013)

I worked for a plasma separation company (Cangene - now owned by Emergent) for 9 years and know this business fairly well. Recently, Prometic bough Cangene's old plasma collection facility and they have contracted with Emergent to manufacture IVIG.

It should be noted that Cangene abandoned plans to manufacture IVIG because it was not economically viable at the scale available to them. Now, they are doing the same manufacturing work for Prometic. Also, the plasma collection facility was essentially shuttered by Cangene.

Cangene was once a bright star in this area, and once had a share price of $10 and lots of analyst buy recommendations. By the time I stopped working there, the shares were around $2 and they got bought for $3 something by Emergent. I can't count how many promising products came and went down the tubes.

These types of companies and the products they produce are very speculative and many things can go wrong. They are not pressing tablets for bottles, it's complex and sensitive biological manufacturing that is highly regulated often with few patients for specialized products.

It should be noted that Prometic's accumulated losses exceed $300 million.

Bottom line, be very cautious, especially after this recent run up. Momentum is a fools game and no reason to start buying. Wait for the results to come through.


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## CPA Candidate (Dec 15, 2013)

As I feared, the stock has been hurt bad recently. At peak in December, a 2 billion dollar company (15+ times book value) with a revenue run rate of $24 million per year. What could go wrong?


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## james4beach (Nov 15, 2012)

^ the stock is up 28% since that last post.

This is a damned volatile stock. Up 12% today. Now that the 200 day average seems to be holding, it will be interesting to see if it attains new highs. I'm long the stock in my DIVZ portfolio.


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## CPA Candidate (Dec 15, 2013)

james4beach said:


> ^ the stock is up 28% since that last post.
> 
> This is a damned volatile stock. Up 12% today. Now that the 200 day average seems to be holding, it will be interesting to see if it attains new highs. I'm long the stock in my DIVZ portfolio.


It's down about 75% since your last post. This might be one to short to zero; they can't raise equity at these prices and they continue to post losses.

Last August they issued a press release related to a JV with a Chinese company and booked 20 million of revenue related product licensing. At the end of the year, they wrote off the receivable, about 6 months later. That really doesn't say much for management.


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## james4beach (Nov 15, 2012)

CPA Candidate said:


> It's down about 75% since your last post.


I ditched PLI a few months after that post. I sold it on 2016-06-27 for $2.76. It's down 72% since the point I sold it at, and it has never again qualified for my portfolio. For those who are interested, I still track this portfolio in:
http://canadianmoneyforum.com/showthread.php/105601-Lowdiv-TSX-portfolio-tracking


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## CPA Candidate (Dec 15, 2013)

Prometic now trading at 4 cents per share, almost a complete wipe out of shareholders.


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