The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
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If the share price had gone up it would have been because the AGM had effectively run and had announced something positive that would have increased the SP. And we would all be happy.
No one is crying, we are having an adult conversation. I got out at 65 and would like to buy back in as there is a good product there. The fact I am not buying hugely at 30p is because I now have huge doubts about the boards grasp of business rather than just science.
If the price went up you would have been congratulating and saying what a good job had been done of the presentation!
Stop crying like a baby and get over it!
Deb - I agree that there are some significant funding questions. For GB to suggest that DV is funded well into 2021 is simply not credible
Might be part of back slapping brigade, but my motives are more the product in itself is pretty neat.
My main concern is financing production at volume. 100 dollars a unit 10,000 units to cover say a fair whack of Schools only in uk and that’s a hunk of money. “They will be everywhere” needs a explanation at some point how that happens. But 5 weeks in, it’s innovation etc etc
I don’t look for answers here. More I am hopeful the team can come up with a financing model. China is mentioned, numbers get silly, competition steals tech, risk etc etc like I say either we have faith in team and hold or we don’t and sell, unless we want to trade(how does one get the cojenes for that).
Best of luck all, this is no safe bet but boy is it interesting ;-)
Thanks Truffle. There are a number of important issues that have not been properly answered and that is reflected in the SP and general scepticism. It is good that there are more and more people asking these questions rather than blindly accepting what they have been told. This in the long term will be good for DV. In the meantime GB and the BoD need to pull their socks up as they have badly let down their staff, shareholders, partners and stakeholders.
Muggins, it`s been difficult the last couple of months,
doesn`t help the back slapping Gerry gets every time
he appears on here, a bit more scrutiny of his motives
would help us move in the right direction.
Serendipity - thanks, it really is extremely difficult to start a sensible discussion without the usual suspects shouting you down with inarticulate comments and loutish behaviour
Thanks muggins, you are in danger of starting an intelligent debate on LSE. Unfortunately you will get shouted down by the usual fanboy idiots.
SKIN are in a race to get their product developed and marketed before vaccines or similar products (eg Biobot) beat them to it. Yes it has used above and beyond COVID but that is where the big immediate value is. Many good products have failed as they didn’t come to market quickly enough. Dell is a good partner but the significance was poorly explained. GB can claim it’s not pharma but announcing a partnership with Roche or GSK would have propelled this to next level. They can fast track production and open doors to governments.
Just can't be bothered to entertain your daily drivel muggins. It's that simple
K3VMC – many thanks for your considered comments. I may not agree with them all but clearly a thoughtful position and a sharp contrast with Pilgrim who seems to have had an extensive lobotomy.
I take it that you agree with the other points that you have not commented on ie the presentation and Q&A were a disaster, GB needs to focus on sorting problems and less time on twitter, he has over promised and under delivered, they do not know their markets etc.
• I raised the toothbrush analogy because that is how GB described how the tester would be used – as if it was part of your morning routine. That is patently not the case.
• Agree with your point about the subtleties of wanting to be able to provide proof rather than displaying symptons.
• MWG was only founded in 2006 so patently has not been testing for 30 years. If you looked at the MWG BB you will see that virtually the entire MWG sales team left and set up on their own earlier this year. Presumably this is one of the reasons that sales crashed in the half year.
• Do not be mistaken, the costs to get the product, and all the other ones that they are working on, anywhere near market will be massive. There is no way that DV or the current partners have the financial clout to do this. They need a big swinging dick to take this to market.
• Unfortunately you do not seem to understand cash flow vs tax losses. MWG has tens of millions of tax losses as it has lost money every year since 2006. The real problem is that it has a cash outflow of £2m++ each year. I expect that this will accelerate following the 62% collapse in sales. I do not think that DV has the resources to cover that as well as complete the development of all the projects that it is working on and cover admin and other costs.
• To the best of my knowledge neither DV or MWG have access to the retail market. To start from scratch for a tiny company is practically an impossibility. That is one of the reasons it needs an appropriate partner. To be honest I expected an announcement about who that partner would be yesterday and I expect that the market also expected it which is one of the main reasons that the SP fell. To bring in a major commercial partner would be a massive boost and provide some credibility.
• As I have said previously MWG is selling practically nothing so I would not expect much help there. The existing distributors have no knowledge of the retail or similar markets.
• The shambles of the last 24 hours is likely to put off any potential partners which is why the presentation, Q&A and subsequent SP collapse is a real catastrophe for DV.
Looking at the BoD yesterday they were as surprised as anyone by the presentation and subsequent Q&A session. I also wonder if the DV BoD were aware that the merger of MWG and DV triggers the issuance of 20m shares to GB. I thought that is what is called a massive conflict of interest? I wonder if there will be some BoD changes as a result. Change is required
Muggins
Thank you for airing those issues. Let’s just have a think about them.
“ •The product certainly does not look like something that you would use in the same way that you brush your teeth in the morning.
Correct. It does not work like a toothbrush, because it is not intended to clean teeth. We also have to admit that it doesn’t function like a potato peeler, or even a hair dryer, each of which are designed for other purposes.
“ There are also real questions about how it will be used – do we really want Covid infected people walking into shops and supermarkets and pharmacies spreading infection?”
We don’t want COVID19 people walking anywhere in public. If someone has symptoms, they should be tested and isolated. This test is designed for people who want to provide evidence that they are NOT infected. Can you see the not so subtle difference there?
“• Will this actually work in the real world? As I understand it the product has not even been tested on real Covid. The development is much earlier than I was expecting and there is a lot that can go wrong.“
MWG has been testing for 30 years. They have tens of thousands of detectors out there, working 24/7
•” The messaging on who will be the customer seemed to change over the day yesterday. I think that they have no idea what their main market is and how they will access it.
Can’t see you you got confused there. People. Men and women.
“• Where will they get the money to complete the development?”
Did you actually watch the video? They are using existing technology, with mods to the reader to replace some electronics with a DVD scale laser, plus reprogramming the robot is arm to move the chip, rather than replace reagents. The rest is some software programming by Dell to move data around.
“ With the proposed acquisition of MWG they have taken on additional losses of £2m.”
Losses carried forward is tax efficient. Losses are NOT debts.
“Will there be a big diluting fundraise?“
You can never rule out a fundraise, but Dell, Avacta, Aptamer and manufacturers around the globe are partners, NOT suppliers, so no massive outlays,
•” How will they sell the product, they do not have the infrastructure to do this at any kind of scale.“
The word “shops” springs to mind. That’s where I buy my razor blades.
“ They will need a global or regional sales and marketing organisations.”
MWG has distributors in 63 countries, so I’m not worried about that one.
“A big pharma company would be the obvious choice.”
As Gerry said, this has nothing to do with pharma, big or small.
“Until they have someone that can do this then DV will be regarded as simply not credible.”
Look at VLG, getting their products all over the world, from almost nothing a few years back, and that’s just mouthwash, etc. This is a life changing Development. The world will be knocking Gerry’s door down to get this installed.
muggins...different day,same questions...all of which have or can be answered with research..just jog on lad..you're so boring
GB hyped everything on Twitter and BBs and the RNS/Presentation and Q&As were his chance to nail it. The RNS was good but the presentation was a car crash and the Q&A worse. Forgetting the amateur dramatics of the presentation, the real problem was that there was so little substance with big questions left wide open.
The usual suspects on this BB were forecasting a multi-bagger yesterday morning and these are the same people who criticise anyone who takes a view that is in any way contrary to their own. Perhaps rather less aggression and take the opportunity for a bit of quiet reflection and thought about why the SP has tanked.
These are some of the issues;
• The product certainly does not look like something that you would use in the same way that you brush your teeth in the morning. There are also real questions about how it will be used – do we really want Covid infected people walking into shops and supermarkets and pharmacies spreading infection?
• Will this actually work in the real world? As I understand it the product has not even been tested on real Covid. The development is much earlier than I was expecting and there is a lot that can go wrong.
• The messaging on who will be the customer seemed to change over the day yesterday. I think that they have no idea what their main market is and how they will access it.
• Where will they get the money to complete the development? With the proposed acquisition of MWG they have taken on additional losses of £2m. Will there be a big diluting fundraise?
• How will they sell the product, they do not have the infrastructure to do this at any kind of scale. They will need a global or regional sales and marketing organisations. A big pharma company would be the obvious choice. Until they have someone that can do this then DV will be regarded as simply not credible. I fear that the shambles of the last 24 hours will put off the most likely suspects.
• I have heard nothing in the last few days that would suggest that there is any IP or other protections to stop the product being copied. It would not take a well-resourced Chinese (or other) pharma company to quickly reverse engineer this.
Why was there little or nothing in the RNS and presentation on waste water detection? This has been the focus on much of the previous shareholder interactions. An astonishing own goal not to update the market thereby allowing shareholders to assume that there were problems and issues. Amateur hour.
I know that many on this BB regard GB as the next messiah. However, this is not the first time that he has given wildly misleading information on social media with information provided subsequently proves to be completely misleading, such as MWG orders/sales.
GB has massively over promised and under delivered all the while by using social media which comes over as extremely amateur. Perhaps it is time for GB to spend less time on social media and self-promotion and rather more on strategy and execution