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If the LOIs have been signed by bona fide purchasers than there is definitely interest in val401 (unfortunately we know nothing about who and what is happening with this) - whether this materialises into a deal (and a good deal at that) remains to be seen. With val201 they’ve stated numerous times they’ve been in discussions with big pharmaceutical but it’s ambiguous so could be any range in the spectrum of low to high interest. Would be good to see some concrete information although I don’t think this will come until a deal is signed (if that happens)
I would hope that they go down the route of offloading valirx, tangent reprofiling and suzy’s shares in Valiseek to the 2 partners and take a small lump sum then milestone payments and a percentage of sales. Although I totally agree that the dilution option is equally if not more likely. I suppose it’s a case of wait to see what the terms are, at least we know the partners aren’t fictional!
Hi mathsprof, the percentage will be based on how well they negotiate rather than like for a publicly listed company where £x buys x% of a company. The value given to Valiseek in the Financial Statements will be based on fair value and may not be a reasonable valuation for the IP on the open market (it’s extremely difficult to value intangible assets but accounting standards take a conservative approach so that it isn’t overvalued). Thanks, Geecee
Hi Roses, very aware that it might not transpire however they have mentioned prior that they are negotiating on a basis of wanting an up front payment - it’s entirely down to how good their negotiating skills are (or the US co they hired), I’m sure many here don’t have faith. Thanks Geecee
Hi Ziquarat, this just means that they’ll both be financing together the next phase of clinical trials. I’m not sure that rules out lump sum payments, GM at the last investor meeting said he wanted an upfront payment. Thanks, Geecee
Great RNS, I think it’s been issued because the deal wasn’t going to complete in Q1 - first time I can think of that the bod have issued an rns of substance in order to keep good communication with shareholders. It’s much better than the silence that we’re used to. Kudos where it’s due. Future looks brighter for us, now we await the completion of the deal. Cheers, Geecee
I believe there is a regulatory requirement for them to rns clinical trial results every 6 months (last was on 6th September 2018 I think). Therefore this news would have had to have been put out regardless of whether a placing is coming (although I think we all know one is coming at some point if they can’t generate some cash). It’s also why there was nothing new as it was a forced rns rather than an rns due to new information. All in all it shows things are still progressing for val201 but doesn’t at this point provide the shareholder value we need. Thanks, Geecee
Hi woody, yes if you rewatch the 22nd November presentation GM talks about a product they spent £600k on and sold for over £2m. Was a number of years ago and obviously the cash from that was useful but insignificant to the cash requirements of the company - hoping a deal on any of the current products however resolves the cash issues for the foreseeable future. Thanks, Geecee
Hi Noise, yes the average dosing period for the previous cohorts (4mg and below) was around 90 days (the exact figure was stated in GM slides from his presentation - off memory it was 86 days) so there’s a high probability that a number of patients at the higher dosage have completed their treatment. Whether we see that data until the trial finishes is another question. Thanks, Geecee
Hi Uncanny, my interpretation was that the 6 parties involved would be Val, Tangent Reprofiling, Dr Dilly and as GM mentions a medical body (can’t remember which one off the top of my head) - then the other 2 which would make up the six were the 2 taking it commercial (and were the 2 disputing territories). I may have misinterpreted it but I’d be surprised to see 6 entities all going in for one drug. Thanks, Geecee
Yes I’d agree it was strange, I wasn’t sure what they were trying to get at - whether they endorse the governments plan because the government were planning on supporting the company in some way or whether they were endorsing itjusy because! Sure we’ll see in time
Hi valju, if that was directed at me - it was a genuine question and not meant to cause offence. I do plenty of research but have seen nothing further than his name and that there is a rumour he is involved in some deal. I have seen nobody discuss the details or put forward links on this matter and would be grateful if somebody did. I just currently have a hard time getting behind a rumour that is to me no more than a name. Thanks, Geecee