The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
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thanks Jatw, I'll update my shareholder list accordingly, as mentioned the warrants are listed but the strike price seems low, page 59 of this year AR.
"On July 2, 2020, the Company and General Atlantic entered into an ordinary shares subscription warrant which upon exercise entitles General Atlantic to subscribe for 16,666,670 shares at an exercise price of US$6.00 per share. The warrant was exercisable during the period from July 2, 2020 to January 3, 2022. The warrant expired on January 4, 2022"
GA invested 100m USD which was about 3% at the time….the HK listing reduced their holding below the disclosure limit.
The page is not in the current company presentation, but a large number of investors were listed including GA on a governance and investors page.
I bought another lump on Friday just to get my average down, never expected it to fall this far especially after watching it for so long.
Is there any reason way GA is not listed as a shareholder on HCM web site or on the AR?
Warrant is mentioned in AR but not their actual holding.
A $1.7B market cap is NASDAQ giving HCM management a slap in the face. Minus $1B cash and minus $0.7B for Shanghai Hutchison Pharmaceuticals, we think you are worthless!
It feels like the US markets are dragging everyone else down, not sure I would be that unhappy to see NASDAQ quote go tbh, that said US did recover leaving HCM at London close price.
China on the front foot
http://www.chinadaily.com.cn/a/202205/21/WS62881ea2a310fd2b29e5e16a.html
NASDAQ pre-market, bit of volume, looks like London leading the quote at least for now.
https://www.nasdaq.com/market-activity/stocks/hcm/pre-market
Lets see if Mr Lefei Sun can add another dimension to Hutchmed, he has the credentials to really make things happen, also an outside from parent company.
https://www.generalatlantic.com/people/team/lefei-sun/
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China really seems to be grasping the nettle in order to get their economy moving again, hopefully this includes some news on companies listing overseas which would fit in very well with current regulatory communications.
agree 100% and now is the time for CKHH to stop treating Hutchmed as a vanity project and a subsidiary. We need some traction and vigor going forward including the following possible actions:-
1. Announce partner for Europe
2. Dispose of the SH JV for circa $700m+
3. Consider in-licensing some American big pharma assets and utilise the China sales infrastructure to market them
4. Consider using the temporarily defunct American sales and marketing team to in-license and market some china Biopharma assets from a company that has no NA presence
Overall the company has a proven track record of developing and marketing Oncology assets but it needs to step up with regards to its corporate development. The market needs some signals of rapid development and possible future institutional investors need some reasons to buy.
Agreed, things have changed during the last 20 or so years, perhaps the vision of building a global oncology business makes more sense partnered with someone else, economies of scale.
Li Ka-shing is in his 90's, Christian has now retired, time to blow out the cob webs.
What is needed is some M&A to create a Chinese champion….
There are multiple companies with overlapping portfolios….all share mergers retain their cash balances, then focus the portfolios on the winners and best candidates this will save $$$ in duplicate programmes.
Beigene to lead? And swallow up innovent, Hutchmed, Zai labs….would be good Afro many shareholders and create a world leading franchise……this is how US and EU big pharma emerged so it could happen…..possibly more likely now as the existing big pharma may be deterred from shopping in China themselves.
There you go, my largest holding THG has just received 2/3 bids announced after hours, it can happen even when shorts have control (temporarily ).
last time we had this sort of volume on the London market, price was over 600p in Aug 21, less than a year ago!
Its barely 12 months since the fund raising which had an extension due to high demand, lol market is so nuts at times lol
$800m for the JV, $1000m cash
macp $1600m
so minus $200m for the IP, all the pipeline, other fixed assets
Crazy, arguably their stake in Shanghai Hutchison Pharmaceuticals is worth more than the market cap, an asset that is super desirable and well sought after, wouldn't surprise me if a bid comes in for the whole shebang!
Lets see what HK makes of this..
Its a fair bit below where HK closed with US quote actually up (for a change).
Shorts really pressing this home.
Couldn't resist, freed up cash elsewhere.
You've sold about 50,000 this morning, would that be roughly correct?
Helps get an idea of selling pressure overall.
I have 25% left out of my original holding, I am amazed the company is worth $500m if you exclude their cash. This is either a fantastic buying opportunity or something is very wrong. I appreciate the market is a bloodbath but even so, its valuing the company to fail which is ridiculous.
..or was this another toys out of the pram moment ..?
Are you completely out NoS, market seemed to have absorbed some selling so far?
On paper General Atlantic have lost 75% of their investment, I wonder how many years it will take to recoup that?
If you had sold everything on the day CH resigned, you would be very tempted to buy in. Sadly I didn’t. But important to hope that value will have its way.
We are hostages to the macro world of inflation (amplified by Ukraine) and China lock downs. That may last for a while. But specifics also important. After the disappointments of the ADR’s and then Suru, which was a total shock, we desperately need success with FRESCO II to stabilise the ship. Odds are probably better than even given how well they know the drug, but nothing in the bag until it is. We have had plenty of experience of that.
After that, an asset disposal of the legacy business should then highlight value and remove funding issues. But it is very tough at the moment. Such is the nature of investing.
when this gets below $1 it will de-list so no HFCAA needed
having lost "another" few hundred thousand" I am dumping this tomorrow, I've had enough of losing money