Endonovo Therapeutics Inc (OTCMKTS:ENDV) Battles Toxic Financiers

Shares of Endonovo Therapeutics Inc (OTCMKTS:ENDV) have gotten crushed due to toxic convertible notes. The company is engaged in an epic battle to stop the toxic financiers, but so far the share price is indicating that the toxic financiers are winning. Can ENDV turn things around and prevail?Endonovo Therapeutics describes itself as “an innovative biotechnology company developing bioelectronic devices and therapies for regenerative medicine. Endonovo’s Immunotronics platform is a non-invasive, non-implantable bioelectronic device for treating/preventing vital organ failure through the reduction of inflammation, cell death and the promotion of regeneration. Endonovo’s Cytotronics platform provides for a method of expanding and manipulating cells using simulated microgravity and Time-Varying Electromagnetic Fields (TVEMF) for tissue engineering and cell therapies. The company’s initial concentration is on the treatment of acute and chronic inflammatory conditions of the liver using its proprietary Immunotronics platform.”ENDV has a lot going for it. It's a sad situation when the company has to focus on putting out news regarding its convertible notes rather than company developments. But as all penny stock investors know, convertible notes are a small cap investor's worst nightmare.Earlier this month, ENDV retired two variable conversion rate notes for $55,000 and $50,750 respectively, which the Company believes sets the stage for a new financing plan. Additionally, the Company announced it had received a temporary restraining order against Kodiak Capital, COR Clearing and BMA Securities barring their ability to trade, lend or hypothecate all the remaining shares under the Equity Purchase Agreement with Kodiak Capital, including 1.89 million freely traded shares and 215,000 "Commitment Shares" issued to Kodiak Capital.Then, ENDV was able to get a preliminary injunction by the Superior Court of California, County of Los Angeles, against Kodiak Capital, BMA Securities and COR Clearing, preventing the aforementioned parties from selling, transferring, hypothecating or otherwise touching or disposing of unpaid for shares tendered under the Equity Purchase Agreement with Kodiak Capital. The preliminary injunction affirms a previously granted temporary restraining order placed on over 1.89 million shares of freely traded shares of common stock. ENDV Chairman and CEO Alan Collier said:

"We now have a preliminary injunction preventing the possible use of these unpaid for shares manipulating the market for our common stock. We intend to continue pursuing our rights through this lawsuit to protect our shareholders' value. We have brought this lawsuit to seek the cancellation or return of these unpaid shares to the Company and for other damages. We believe that success in these efforts will increase the likelihood of securing a larger round of financing and ensure a transparent market for our common stock thus preserving shareholder value. The Company intends to learn if these unpaid shares were utilized to manipulate the market price of our stock. Further, we plan to judiciously pursue our legal remedies to ensure our shareholders do not incur any damages and our stock price returns to appropriate levels."

Furthermore, ENDV has a convertible promissory note with Regal Consulting, which was issued November 30, 2015 and recently disclosed in an 8-K filing. The Regal Note contains a Leak Out Provision allowing Regal to sell a maximum of 20% of the given volume in a given day and prevents Regal from making trades after 3:30 PM EST. Regal Consulting has assisted the Company with certain corporate awareness services, including management interviews, direct mail pieces to shareholders, follow up phone support with shareholders, and news articles on the Company providing significant value to shareholders.Currently trading with a market cap of $16 million, ENDV has been a major disappointment for investors when you consider shares were trading at almost $.90 per share back in April. This just proves how damaging convertible notes can be to a small cap company like ENDV. Besides the toxic financiers selling, you have short sellers also selling knowing that shares will be flooding the market. This explains the huge drop in ENDV's share price. The good news is that ENDV is fighting back. We're expecting some major news from ENDV soon and believe the worst is over for shareholders.We will be updating Insider Financial as soon as we know more. For continuing coverage on ENDV, sign up for our free newsletter today and get your copy of The Insider Financial Guide To Penny Stocks!Disclosure: We have no position in ENDV and have not been compensated for this article.