Member Info for Fruitsnveg

Likewise WPA5.

Bore off Scinv.

If I were in your shoes, I’d only take part in the OO if I could answer yes to the following questions:

Am I comfortable with losing control of the timing of my exit of my holding if the company delists - Yes or No

Can I afford to lose what I invest - Yes or No

Do I accept there is a risk of losing my money regardless of whether the company delists or remains public - Yes or No

As an aside, I wouldn’t stake future plans on the outcome of an investment. Being able to financially support yourself and your significant other is far more important, imho.

What is your greatest fear about a delist?

Mani,

Don't you need to be a shareholder on a specific record date? If the shares are sold before this record date, you would likely lose your entitlement to participate in the open offer.

Gampy,

To your first question, yes, it could be that Synairgen were ensuring that institutional investors were secured for the placing. II's s are important - their involvement lends credibility and shows support for the company.

To your second question, what I have managed to find out about it is that there could be a few possible reasons for inclusion of a delisting clause:

1. As contingency, i.e. if they failed to raise enough capital to meet the minimum liquidity threshold it's their plan B.

2.For IIs, having a clear exit or restructuring option (delisting) could be reassuring, as it provides an understanding of what would happen if the placement didn’t go as planned. II's will want to know there's been strategic thought on this.

The delisting clause signals to investors that they are taking proactive steps to safeguard against failure, something that should reassure the market that they're fully prepared for different outcomes.

3. Despite II assumed interest, market conditions can change quickly. The delisting clause shows a cautious approach to unpredictable situations (e.g. industry/sector/economic storms) that could lead to a lower-than-expected level of support.

4. Including the clause might also signal that TFG is keeping the option open for a potential restructuring or acquisition, especially if the placement is a critical step in aligning the company’s direction (e.g., focusing on a specific market or streamlining operations). This could be part of a broader corporate strategy where delisting might enable the company to pursue options outside the constraints of public market pressures.

5. Governance or Shareholder Preferences: - the company might also been responding to concerns or preferences from certain major stakeholders (including ii's) who might have requested the delisting option to simplify the fundraising or governance process.

I suppose the upshot of this is it depends on who you are as to how you view the delisting clause. Clearly for some it will strike fear and for others it is seen as a positive signal.

The placing should be open to all New and Existing II’s. That’s what Kris Lam of Consilium confirmed to me. No mention of invitations to only certain II’s.

New and existing institutional investors can participate in the placing Gampy. The fundraise figs are chickenfeed to some of those.

T depends on where you are. The trial will include Australia so you'd expect that'll extend the 'Winter' trialling Window .

Waiteoxford,

They can delist at any time if they have +75% holding (either themselves, or in agreement with another shareholder to help them make up that 75%).

Yes, always DYOR. It's interesting but it's no indication of what they could do here.

Apols, mistype. I meant Gampy.

Gapy,

My opinion is that some II's will view TFG's financial support, and their alignment with company view that the IA represents a potential value inflection point, as a positive, rather than a negative. II's participate alongside main /greater shareholders like TFG in many instances, I don't see why this would be any different. If they believe in the Business Case as laid out in the Company presentation dd December, than I can't see why they would not take part in the placing.

Bobbyj,

TFG have apparently invested in other biotechnology companies; namely Aardvark Therapeutics, Artios Pharma, and Gyroscope Therapeutics. It's interesting to look at how those company's subsequently fared after TFG invested in them.

The first 2 seem to be progressing well and have the aim of meeting niche unmet clinical need. The last one, imo, is the most interesting. In 2021, Regeneron Pharmaceuticals announced it would acquire Gyroscope Therapeutics for $1.5 billion. This acquisition by a major player in the pharmaceutical industry represented a successful outcome for Gyroscope and its investors, including TFG. The acquisition allowed Regeneron to expand its gene therapy portfolio and enhanced the likelihood of bringing Gyroscope’s promising treatments to market. TFG's investment in Gyroscope contributed to its growth, and the acquisition by Regeneron marked a successful exit for investors.

That said, past performance is absolutely no indicator of future intent or progress. There is no guarantee that they will replicate those successes with synairgen. All it shows is that this is not heir first biotechnology rodeo and they seem to have a liking for undervalued niche drugs.

As always, DYOR on the above.

Doc83

The Commercial opportunity presented in the company presentation (Dec 24) states if “drug that reduces mortality and shortens ventilation time and ICU stay would be very valuable - Peak sales projection > $1bn.” Given that, do you not think they’ll look to maximise their returns for more than just a few hundred million after a P2?

Gampy,

Because if the minimum fundraising conditioner is met( £2.9 m of directors subscriptions, open, offer, and placing) TFG’s cap of 18m get reduced downwards.

See para 3 of the RNS:

“ the minimum amount which must be raised by the non-underwritten fundraising in order for it to proceed is £2.9 million.(..etc) . In the event that the minimum fundraising condition is satisfied, the maximum amount to be conditionally raised by the company in the fundraising will be capped at 19 million, and the quantum of the subscription by TFG asset management. UK will be reduced by an amount equal to the quantum of the non-underwritten fundraising up to a maximum of £6 million. “

Results of the placing and the open offer get announced on 15th Jan. if it’s not on the timetable i doubt you’ll know before then.

P.1.$$.1.n.g competition*

my apologies, i didn’t realise it was a ****ing competition. i don’t recall you admonishing spacman for his equally wrong call of spectacular spac, or did i miss that? my “viewpoint” (as i clearly stated as recently as december) was just that. bully for you for calling it right. chapeau!

Everyone’s an expert in hindsight Size82. ;-).