AVNX

Terliso · March 06, 2006, 07:42:33 PM

AVNX doing well too in after hours

usedcasting · March 07, 2006, 08:38:21 AM

News Hmmm!

Avanex Announces $48 Million Common Stock Offering
Tuesday March 7, 8:30 am ET

FREMONT, Calif., March 7 /PRNewswire-FirstCall/ -- Avanex Corporation (Nasdaq: AVNX - News) announced today that it has agreed to sell publicly 24,075,000 shares of its common stock at $2.00 per share to certain investors, for aggregate proceeds of approximately $48.15 million, before placement agent fees and other offering expenses. The purchase price represents a 6.4% premium to the average closing price of the stock over the five trading days ended on March 6, 2006 of $1.88. The sale is expected to be completed on March 9, 2006 and is subject to customary closing conditions. The net proceeds of the financing will be used for general corporate purposes and working capital requirements. In connection with the issuance of the shares, the investors will be issued warrants which will be exercisable for 7,222,500 shares of the Company's common stock. The warrants expire four years from the initial closing and are exercisable at $2.73 per share.

ADVERTISEMENT
"The completion of this offering will significantly strengthen Avanex's balance sheet and enhance our flexibility to pursue our business plan and take advantage of future growth opportunities," said Jo Major, President and CEO.

Banc of America Securities LLC acted as exclusive placement agent in connection with the offering. The shares in this offering are being issued under a shelf registration statement previously filed with the Securities and Exchange Commission and declared effective on July 28, 2004 relating to up to $100 million of the Company's securities. A prospectus supplement related to the public offering will be filed with the Securities and Exchange Commission. Copies of the prospectus supplement relating to the offering may be obtained from Avanex Corporation, 40919 Encyclopedia Circle, Fremont, CA 94538, Attention: Investor Relations.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.

usedcasting · March 07, 2006, 09:31:06 AM

Question : Does this mean $2.00 will probably form a support level and we could expect it to remain around there for a while. My impression from other stock issues is this would be the case. But, I also know I don't have a great deal of experience with this situation.

Thanks in advance!

uc.

Setravis, I'm starting to feel I should have taken your advice yesterday.
Down 8%. (But I will hold)

cpezc · March 07, 2006, 12:46:02 PM

I doubt it. 16% dilution and the price had dropped 18% since close. Also, having cash is good for the company. Once people accept it the rally will hopefully continue. My only recent experience with this was buying NVAX in AH after the 100 million shelf registration was announced. It dropped something like 20%. I bought and it opened back up 20%.

ScottishTrader · March 07, 2006, 05:27:17 PM

Well all I can say is lets hope 2.00 holds - we closed mighty close today, but it held and it does make sense (though I remeber HOM after it made its stock offering, got beaten down below the offer price for quite a while - but then again is doing much better now).

Makes a bit of a mess of that lovely chart though - shame to put such a big red candle on there - what concerns me is that volume was higher today than even the last few days - in fact today was the highest volume day in the last 3 years!! (can't see further back than that). But my monitor shows 12million buys and 10 million sells (with a bunch unkown), which at least suggests there was a lot of buying into the drop at these levels.

I just wish I had held off the itchy trigger finger yesterday when I bought back in after sleling for over 60% profit - saw a bunch of that wiped off today - ugh

Gotta learn when the right time to buy back is after a big runup - and its rarely the same day!!!

usedcasting · March 08, 2006, 11:13:59 AM

Looks promising today. Good volume and up 7%

uc.

setravis · March 08, 2006, 08:49:04 PM

Quote from: usedcasting on March 07, 2006, 09:31:06 AM
Question : Does this mean $2.00 will probably form a support level and we could expect it to remain around there for a while. My impression from other stock issues is this would be the case. But, I also know I don't have a great deal of experience with this situation.

Thanks in advance!

uc.

Setravis, I'm starting to feel I should have taken your advice yesterday.
Down 8%. (But I will hold)

Yes I think $2.00 has formed the support, But I don't think it is going to hang there very long.
I think ready for the next leg up. JMHO of course.
I'm in and I will hold also.

Volume: 20,769,560........

Avg Volume (3m): 5,629,050

Technicals
Most Actives
Percentage Gainer

Last Price Quote is:
28.62%above 13-day EMA
65.41%above 50-day EMA
RS Rating: 99

Fundamentals
Key Data:
Market Cap (M): $312.25
P/E Ratio: NA
PEG Ratio: N/A
Next Earnings: 04/24/2006
Last Analyst Rating: Hold

REALDEALS21 · March 08, 2006, 11:45:06 PM

Hey, Setravis, what price did you get in @ ?

ScottishTrader · March 09, 2006, 06:44:27 AM

Yep, good to see the volume holding up as well - all the FO stocks are continuing to act well and just about mirror each other - wish I had bought some JDSU yesterday morning.

AFOP also has a similar chart to AVNX, and showed good strength yesterday after the sell-off on Tuesday - I'll post the chart below for comparison:

usedcasting · March 10, 2006, 08:31:34 AM

Nice pre-market, up 12%. Can't find any news yet.

uc.

PS. I need something to pick me up after yesterday's diet.

Holygrale · March 10, 2006, 06:50:39 PM

Raymond James posted UPGRADE to Strong Buy from mkt perform...........Cites improved operational performance and more favorable industry trends .

setravis · March 10, 2006, 09:31:42 PM

Quote from: REALDEALS21 on March 08, 2006, 11:45:06 PM
Hey, Setravis, what price did you get in @ ?

Sorry I haven't got around to answering your question.
I haven't been able to be with you all very much during the day here @3SOF.
Just able to post a little here and there, I have been very busy with other things going on.
But I did manage to get in this @ $1.20

ScottishTrader · March 11, 2006, 01:53:41 PM

Nice entry setravis, I assume you have held since then. I got shook out a couple of times from 1.15(much to my chagrin

) but am still long with a very nice gain. Have been a little concerned about these gaps and then intraday weakness that have been showing up the last couple of days. Looks to have headed up AH on friday above 2.40 (friday's resistance) so we could seee another gap on Monday. While it is going up on this movement, I feel like it needs a nice white marubozu to confirm continued strength. Volume is still good though. I think we could se further resistance around 2.60.

Any thoughts about a target on AVNX?

usedcasting · March 11, 2006, 03:35:56 PM

$3.33 (1/2

)

LET'S GO

UC.

setravis · March 11, 2006, 03:42:28 PM

Nice post ScottishTrader.....Applaud to your trading and post.
I was looking at a target of $3.00/3.50
Here is a 3 year chart, may give you some idea of some targets to place in mind.

Volume: 21,319,681
Avg Volume (3m): 6,273,920

AVANEX CORP (NasdaqNM:AVNX) Delayed quote data
After Hours (RT-ECN): 2.46 0.07 (2.93%)

Technicals
MACD is Bullish
Stochastic is bearish
Most Actives

Last Price Quote is:
24.77%above 13-day EMA
67.48%above 50-day EMA
RS Rating: 99

Fundamentals
Key Data:
Market Cap (M): $312.25
P/E Ratio: NA
PEG Ratio: N/A
Next Earnings: 04/24/2006
Last Analyst Rating: Hold

News:

AVNX