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My thanks too WG, Very much appreciated
Thanks for all the information... helps me to internally rationales why I'm holding 75% of my portfolio in ORPH...!
Looking forward to a great 2021!!
Just wanted to echo the thanks of others on the board for the write up. Great way to start week. Fresh coffee and a good read. GLA
thanks for your thanks guys! GL to all of us - very confident we've picked a winner.
Just adding my thanks WG, a very interesting read. What a great company to be invested in.
Great read - Thanks Wondergoals
Second all those thanks and comments. Great work and a future reference document. A bit like opening an Advent calendar as each box gets ticked.
Thank you Wondergoals, excellent thread. Nice to get straight answers to decent questions. Cathal Always delivers.
Thanks WG much appreciated
Agreed, great notes Wondergoals, thanks for sharing.
Thanks for taking the time to type that all up Wondergoals.
That was a great read and I agree... a great confidence booster for my investment in OO. Thanks again.
going through all that again has reminded me how fortunate I was last year to stumble across OO and how confident I am in what they are doing and where they are going. GLA
24. Any potential JVs abroad for Hvivo, previously mentioned Australia (Melbourne) and China wanting to copy the Hvivo model. Also how long have we got the new third facility for? (The hotel one). >>>> ongoing discussions Australia and China; Proposition to China – let us help you; CF knows China and Chinese ways of business well; Got 3rd facility as long as we want – current 12 month lease, auto-renewal; model highly scalable if we need to expand quickly (and cost-effectively)
25. We have seen there are now a few people on board who have worked for SGS in the past. Is there anything in this, JV/buy out etc? >>>> SGS are wonderful; so much bigger than OO – we’re not picking a fight with them!; good working relationship; not in competition – CF differentiating OO businesses from SGS apparent focus
26. Last year was about consolidating the cost base. This year is about expansion and providing new revenue streams using existing assets within the company portfolio. What areas of further expansion are exciting prospects to you within the data and medical space at the moment if OO was to diversify? >>>> keep doing what we’re doing; institutions likely to get interested
27. What do you see as the biggest risk to success and profitability of OO this year/next year? >>>> NO chance of not being profitable going forward; risks – a well funded competitor (though it would take them years to catch up); OO stay ahead by continually innovating; someone may have to buy us!
28. You and your team have achieved a great deal in a short amount of time. What would be the pinnacle and greatest achievement you are personally aiming for the company to achieve? >>>> aiming for $1billion market cap; (evidence from his time, investment, support for Amryt and their progress that this is a clear and realistic possibility)
29. Obviously, we have a leading-edge technology worldwide which I suspect will be widely promoted by the UK Govt. Do you get any political pressure or guidance as to how much we which can explore opportunities elsewhere in the world? For example, charging smaller fees for less developed parts of the world? >>>> UK seen as world centre in vaccines and anti-virals; this is the place to be; no govt pressure – govt is proud of what is being achieved; OO won’t be selling to end-user nations – we sell to pharma to develop product, it’s up to them what and at what price they sell to nations
16. We haven’t had many updates on covid testing. What revenue are we currently doing and what is the plan for our testing roadmap? On the collaboration for antigen testing, what’s our involvement and potential revenue? >>>> not now a business hugely interested in; expecting after widescale vaccination it will reduce; much other more specialist businesses to focus on
17. Does OO have any role in the identification of new strains of the Corona virus? Also Would a new challenge study be required for a vaccine that has already undergone a challenge study or could data be inferred against the new strain? >>>> yes; working on ‘South Africa’ strain; CS model can be used for variants and next generation vaccines; expecting new vaccines every year in coming years
18. You spoke of filling the clinics 10 times over with Covid Challenge study enquiries, but realistically how many of these are achievable? >>>> there’s a vast appetite; substantial numbers are achievable
E. Data & Non-core assets
19. How is the data protected to prevent the wearables from emulating it and ensuring they subscribe in the future? >>>> via newly launched platform; won’t give data away – will provide access via feeds which OO controls
20. On the disease in motion platform will this be spun off into another company where we will get shares of it, similar to what's happening with Imutex? What will the revenue streams/business model be made of? One off fees, ongoing licensing, full access or can you cherry pick to suit the customer etc? >>>> very exciting; potential as a stand alone business; could be bigger than parent company; SO EXCITED!
Disposal of non-core assets
21. What are the new timelines for none core asset monetisation? >>>> mentioned elsewhere above; apologies – a bit behind (see Imutex above); talking to very large pharma; aiming for 1st of 3 soon (mentioned news in possibly 4 to 6 weeks)
22. Regarding our immune modulator for severe influenza, would we consider developing this with a major or are we looking for a straight sale. And would that be cash or equity? >>>> could sell for cash or equity; BUT got some of the best scientists in the world; prefer to spin off into stand-alone co; so not a quick sell – deliver shareholders a stake; not too distant future
F. Future Expansion and strategy
23. Are there any developments in the pipeline related to the work with Wellcome Trust? >>>> Yes; lots of dialogue; great people to work with; OO only people with 2 GMP manufacturing facilities (for manuf CHIM agents) in the world
9. What is the issue with broker notes and why are they not updated with a price which reflects the growth/potential of the business? >>>> Frustrating; we’ll get there with them; difficult to show some of business in pandemic / lockdown; bear with us and let brokers do their job; work in progress – we will see change
10. Which shot on goal do you believe would have the greatest effect on the share price? >>>> There’s a range of possibilities: (a) the spin-offs of non-core businesses as above – Imutex taking a bit longer than planned – apologies – Seek / ConserV rebrand impacted; could be bigger than expected; (b) wearables (DIM); (c) Chinese deal; (d) strategic investor
C. Business operations – non COVID-19
11. Chimagents Contract still not been signed/RNS’d even though was on desk to do? Any cause for concern with this? >>>> Apologies; no cause for concern; CHIM agents team now firmly employed; will get it done; housekeeping
12. Are there any plans to consolidate the various company names (OO, Hvivo and Venn) into one and improve recognition by the wider market? >>>> Done; now firmly all under Open Orphan banner; 3 offices with 3 different focuses; (do need to refer to original companies as they are recognised and trusted by big pharma partners ..)
13. How many new challenge study models do HVIVO believe they could make within the next couple of years? Any update on the current ones the team are currently working on and when they would to go for approval? >>>> Got 6; well down road on anti-malarial model; progressing pneumococcus, norovirus; asthma, influenza (at least 6 companies want to get studies going; model is for customer to fund model development which is then developed and owned by OO but customer has 1st use of it
14. Currently Open Orphan have a virtual monopoly on Challenge Studies worldwide. Do you foresee any competition emerging with increased investment for example SGS developing and investing in new facilities and how will you keep and motivate key people and how can we keep one step ahead of potential competitors? >>>> not easy for competitor to get in; SGS core staff have come to OO; OO have staff, models, facilities, customers, recruitment machine; + TRUST of customers (not easy to build – will people want to work with new entrant when trusted established player in place); markets are expanding; SGS appear to focusing on different business areas
D. Business operations –COVID-19
15. What is the roadmap for government approval for CS? If approval is granted which drug will be on standby in case somebody gets very ill? >>>> huge amount of work ongoing; ethics approval optimistic [now done!]; working with scientists at the partner provider hospitals re medical aspects
strictlyinc - and others, here are my very brief notes of CF's answers to those 29 questions. sorry in advance for filling up the board ...
A. Company finances/investors
1. When can we expect to see the H2 and year end financial figures for the year ending 2020? Also, what profits are we currently generating on a monthly basis? >>>> Can’t share inside inf re actual figs; Q4 was profitable – now profitable every week and every month going forward; very flexible model keeps costs under v tight control; audit should be complete after easter, results after that i.e. apr/may
2. Has the company considered a share buyback scheme to clear overhang from large institutions? >>>> Considered it; got £20m in bank; could be used for div payment; would prefer to bring new institutions in
3. Are we in any talks/are there plans to bring in new institutional investors? >>>> Yes; on-going; they are interested in bigger co’s i.e. >£200m so now coming on to their radar
4. What are the plans to use cash pile for apart from dividends? >>>> Debt paid off; cash @ y/e £20m; good liquidity in shares; target $1billion co.
5. How do we attract net new investors to OO as most of us are well invested here? This will keep the SP moving and liquidity high. >>>> Agree – part of his and his team’s job; e.g. the work they are doing with China; 1 angle is possibility of finding a strategic investor e.g. taking 10-15% of co.
6. How confident are you of getting a deal with the Chinese and what are they wanting to do. Covid 19 Challenge Trials or RSV or head-to-head Vaccine or are they looking at something like Codagenix. >>>> They’re interested in all of the above; want to be able to do challenge trials; we can help them – there’s lots we could do; can possibly sell them our technology; not just covid e.g. China has biggest respiratory disease problem in the world
B. Share price
7. The new deals announced have not been reflected in the share price, possibly due to financials not being included. If figures can’t be released in the RNS as commercially sensitive, is it worth thinking about doing a quarterly update saying contracts signed this quarter is equal to x amount? >>>> Good idea, will look into this; have come a long way in 18 months (incl sp); let co continue to deliver good news; confident it will be reflected in sp
8. When you first took over you told shareholders you would grow the share price to around 18-20p from a base of around 5p. What is your target now to grow the company to in terms of MkCap and what exit strategy are you pursuing, and the timescales you would hope to deliver? >>>> OO is in one of the hottest sectors in the world; UK is world leader; intention is to keep growing; target $1billion co; emerging plan to hive off non core assets into separate businesses each generating dividend species; e.g. new launch every 6-12 months
Thanks for posting - I would really appreciate seeing answers to those 29 questions in an easily digestible format. How many of these did CF properly address?
Absolutely Daygrow, Orph my only holding, and If I had anymore to put into it I would.
Very confident with this. Potential of three dividend in speciale, rising demand for vaccines, and orphan as the world leader in human challenge trials. What more do you need from a company..... there is much more I could add to the previous list aswell. This 100% I my opinion is the company to invest in.
Just shows what a good investment I have made!
Nevermind, hiding in plain sight...
Any links to this little publicised presentation or who it was with?
Ryanwood, there was a little publicised presentation recently a short while after the Mello event, with questions and answers from CF. Pretty sure this is that presentation document. GLA
Just wondering if I'm late to this...
Seen all the investor presentations that have been out previously (apart from the mello one) but noticed this one is different to the current investor presentation. Is this for an up coming presentation or from the mello presentation?