Looks like a bankrupt penny stock scam.
Anavex Life Sciences Corp. (AVXL) reported over $3 million in bills, and under $299k in cash equivalents. It has negative equity and no analyst coverage.
According to Anavex’s quarterly report….
“Since inception on January 23, 2004, we have incurred aggregate net losses of $31,734,121 from operations. We can offer no assurance that we will ever operate profitably or that we will generate positive cash flow in the future. To date, we have not generated any revenues from our operations. Our history of losses and no revenues raise substantial doubt about our ability to continue as a going concern. As a result, our management expects the business to continue to experience negative cash flow for the foreseeable future and cannot predict when, if ever, our business might become profitable.”
“Our independent auditors have noted in their report concerning our annual financial statements for the fiscal year ended September 30, 2011 that we have incurred substantial losses since inception, which raises substantial doubt about our ability to continue as a going concern. In the event we are not able to continue operations you will likely suffer a complete loss of your investment in our securities.”
“Our research and development plans will require substantial additional future funding which could impact our operational and financial condition. Without the required additional funds, we will likely cease operations.”
Anavex has never generated revenue and has lost $30 million, nonetheless Harvey Lalach, the CEO–who seems to also on the board of directors and probably influences his own salary–pays himself almost $1 million per year in salary and stock compensation.
His prior track record looks equally scammy. He was the CEO of Assure Energy which traded as ASURF on the OTCBB and then disappeared. He was the CEO of Globalenetcare, another penny stock that has now disappeared.
You have to wonder why a company that trades in the US is headquartered in Canada and conducted its only clinical trial in Europe. Makes scrutiny difficult….
Update. Other vanished penny stock operations run by Lalach include: