RE: Question6 Feb 2016 13:34
So their Motif assets, from the Motif admissions document,
The Directors, David Huang, Amphion, Amphion US and MSA have entered into agreements pursuant to which they have each agreed with the Company, Cairn and Northland that for the period of 12 months following Admission they will not (without prior written consent) dispose of any interest in Ordinary Shares except in certain specified circumstances. They have also agreed that for a further 12 months (following the expiry of the initial 12 month period) that they will only dispose of any interest in Ordinary Shares through Northland (or the Company’s broker at the relevant time if it is not Northland) and in such manner as Northland (or such other broker) may reasonably require with a view to the maintenance of an orderly market in the Ordinary Shares.
If they were desperate for cash or they need to pay off some creditors/loan notes they could raise some money by selling a bit of Motif. One would suspect that they are very keen to hang on to Motif until Nasdaq listing and partnership with US Pharma. Then they could realise much fuller value. One would hope that AMP's investors are in this for the same reasons and want to realise similar profits. It would make sense that they work something out so that the company can tick along developing assets and fighting court cases.
SO where is the catch? It can't be valued at a third of NAV without a good reason.
Is it purely concerns over cash and calls from creditors?