*Ocata Daily Discussion* 1.0

“Where have you gone, Joe DiMaggio
A nation turns its lonely eyes to you (Woo, woo, woo)”

In our current circumstance, the question for me is with respect to the two men herein with the highest reputations for intellect and integrity, Lanza and Langer. Where have they gone? …Why are we hearing nothing from them?

Lanza has said “I am excited about the possibility of moving this early research into pre-clinical studies in the future.” but that could be interpreted in a variety of ways including being on a par with Austrian Chancellor Kurt von Schuschnigg thanking Hitler for taking over his country and leaves very open the possibility that even Lanza and Langer are not fully certain, even if Matt Vincent is, as to what is going to happen with respect to Lanza and his team including the very crucial issue of whether they will still have control over the direction of their ongoing research. If they are as certain as Matt about this why are they not coming out and saying so themselves.

For all we know, Astellas may be on a Big Pharma endorsed mission to essentially close down or severely slow down the Ocata advances until Big Pharma feels it has gotten a much better hold on how to minimize disruption while getting into position to maximize profit from the coming new stem cell derived treatment era of medicine.

Lanza and Langer have not said anything ruling this possibility out. Maybe they don’t really know but also, if so, shouldn’t they be saying that? Or do they feel their best hopes for the future of the science require silence even if they have doubts? If they feel in some kind of bind about speaking out, I was about to suggest, as I recalled the ACTC Ethics Advisory Board, that they make use of the members of the Ocata Ethics Advisory Board but, and perhaps it is noteworthy, Ocata seems to have dropped that Board.

So it remans that I would like to know how Lanza and Langer, among others, are handling a possible variety of ethical dilemmas here. And more important than the still serious issue of what obligation should prevail to loyal long term investors, as well as investors in general, is the issue of how can they best try to assure the most efficient delivery of the potential Ocata treatments to afflicted individuals.

I also have taken to wondering about how Lanza is fitting all of this into a biocentric universe.

The PDF version includes the letter:

content.stockpr.com/sec/0001193125-16-426258/0001193125-16-426258.pdf

The following looks new:

"What does Astellas plan to do after the Acquisition is completed?

• Astellas has additional financial resources and infrastructure to invest in the Ocata pipeline. Applying these resources and infrastructure to multiple clinical and pre-clinical programs may advance projects that are not being developed and this could be beneficial for patients in need.

• Astellas plans to create, based on the Ocata platform, a Center of Excellence in Regenerative Medicine, which could further develop research on regenerative medicine."

I still can't understand why Wotton didn't shoot for a licensing deal. Japan had loosened their regs on regenerative medicine.

Wotton should have capitalized on that......... Astellas isn't the only Japanese company.

I think, no one at OCATA is moving forward with anything because this deal is still pending. Dr. Lanza and his group are going into the office and working on their technology and platforms and the Management is probably watching this deal unfold. Put yourself in their shoes, if you knew a Japanese company is taking over, would you do any extra work to make this company move into the PHII trials, No. PW is probably freaking out because his Parachute isn't opening like its suppose to. The rest, Jouste and newly acquired BOD are just waiting for this deal to happen and anything else such as Results of PH I, are on hold. The only thing that is happening is----Nothing. I am sure PW doesn't really have a Plan B and MG put a crimp into the closing. Isn't there anyway we can have our own shareholders meeting with the company to discuss this deal. Maybe if the deal doesn't happen by Jan 21st, Management will be prone to release something, to show the SEC they are still working on the shareholders behalf. We are stuck. I say lets be proactive if the deal fails to garner the necessary shares by Jan 21st. Maybe a letter to Laurel and Astellas telling them what the shareholders will accept, like a JV and/or a price of $50/share. JIMO

Kukkido

First tender fail is a vote of no confidence in PW and the bod.  Can we access the BOD minutes of the tender vote? 

All of my quotes in the Seeking Alpha articles by Paul Wotton completely incriminate him from this Astellas action, saying he has enough funding to last to the end of 2016 and that 2015 his primary goal was "initiating the next file of our RPE clinical trial." WRONG -- primary goal was to sell the company for peanuts and I have called him out publicly for this.

Seeking Alpha has accepted the articles "pending minor editing recommendations" I just completed and re-submitted.

Thanks Patti. You have been meticulously compiling notes by transcribing the innumerable conference calls and presentations. I am sure you have made a compelling case against the management with so much of research material at your disposal. SA provides a wider audience and hopefully it will have some impact. It is such a pity to see robust science let down by petty management. If not anything, your article will provide some catharsis to all the actc longs ( or ex longs)

Gary Aronson update. Sounds like he is getting ready to throw in the towel:

Gary Aronson asked me to post this for him.

We contacted over 50 potential bidders. We received over 20 outright NO’s. The rest are indeterminate. If we hear from any and can let you know, I will. We were treated courteously and professionally by almost every single potential bidder that we approached.

One problem that we encountered is that Big Pharma companies virtually always deal with eager Managements, not dissident shareholders. Another was our lack of any confidential data of any sort.

In my experience, Big Pharma investors are actually quite risk-averse. They would much rather pay billions for a company with compelling advanced clinical data, than hundreds of millions for an earlier-stage company. (Wasn’t this exactly why Ocata raised the $30 Million?) Its safer for their own jobs.

The timing close to the Holidays was also a problem, because many at most bidders don't work then (except maybe to finish up an old deal). Any responders likely would have contacted Ocata’s Management, to an uncertain response. We may never know if there were additional bidders or not.

Do I think this deal is underpriced? YES! Ocata Management’s previous presentations evidenced how valuable the Company was, but now, in the form of their recommendations and the much lower Ocata Projections of its 14D-9, a completely different valuation is being proffered. Do I think this stinks? Yes, I think it stinks to high heaven.

Do I think the Astellas deal should be stopped or other shareholders should refuse to tender? I have not sued to stop the deal and I am NOT willing to recommend anything to anybody else on this. The stock market seems to me to be collapsing, with weakness in EU, Japan and China and Janet Yellen raising interest rates. I think a Worldwide Crash is imminent and investors might reasonably take whatever cash they can get now, especially if they need it to survive. I do not know if the Gabelli Fund purchases are particularly meaningful, as, based on their public information, these funds might be looking to get just the difference between e.g., $8.43 and $8.50 in a short time.

At this point, I have not decided whether I will tender and/or take legal action. I am looking into this further. In any event, I cannot claim to anyone else that I have any other bidders at this time nor do I have any reasonable expectation that new bidders will step forward within the next 8 days. I encourage each person to think for himself or herself, check with his or her own advisors and act as seems best for his or her own interest.

Thank you for your support and good luck!

Best wishes,

Gary Aronson