Member Info for JSB1989

It’s pleasing to see Rob and three other directors buying £150,000 of stock over the last two days.

15% gain for Seaport at $21. It’s difficult to determine where we go in the coming months. Are we going to track the Seaport share price with a discount, the general biotech market?

I’ve made a list of near term catalysts. Feel free to add any that I may have missed.

End of July - BMS quarterly results Cobenfy sales update.

August - Half year results. Possible strategy / structural changes.

Q4 - Cobenfy readout in P3 Alzheimers.

Q4-Q1 2027 - Gallop financing

H1 2027 - Seaport GlyphAllo P2 data

??? - Bid talks, rumours

The rationale for a sale that you have outlined makes sense to me. Everything has been streamlined over the last 9 months to cut costs and making a sale easier from a regulatory perspective.

Lyne was the CEO of Arix and it was acquired by RTW who were the largest shareholder at the time.

Dallo - does that mean you are sticking around for the end game?

I don’t even think he needs to get Gallop spun out for this scenario to occur. Celea was the more advanced and expensive prospect and there was an urgency to get the P3 moving after an 18 months period following the conclusion of P2 trials.

Lyne is a venture capitalist at heart, so let’s hope he gets this done and at a decent enough price. I’m now hoping for this outcome and after averaging down this week, £2 would be an acceptable price for me and I’m sure most shareholders would jump at that too.

If no acquisition takes place, I really hope they wind down the R&D, or divest that part of the business. That will kill the hub and spoke model once and for all.

At least our £250 million asset is run by Daphne. She is very competent and well connected amongst the biotech community.

Madness. The price action in the last two sessions are the result of investors finally throwing in the towel on both the model of the business and the management. I don’t blame anyone for thinking this. I had hoped after 18 months of BC as CEO, we’d see an improvement. Rob hasn’t moved the dial.

I am however using this as a time to keep adding and crucially bring the average down. 115p is £280 million MC. Seaport shares are worth over £250 million to Puretech and another £160 million in the bank (£50 million ringfenced for LYT-100).

I have revised my ‘upside’ downward, but I think theres an even clearer case (now Celea is finalised) for Puretech to be snapped up. This could be done for 180p-200p which would leave much upside for the acquirer.

Good luck all. We need it.

Https://clinicaltrials.gov/study/NCT07284602

All of the trial details in the link above. 1100 patients in the study.

I’ve used the drop to buy some more. Regardless of the poor deal today, the sum and parts are more than double the current price. I’m hoping we see more buying from Briarwood and Tang.

I’m all for Kevin Tang to take a board seat now. Too many directors earning $250,000+ per year for no returns.

After the $100 million for Celea, the company probably has around $125 million remaining. Most of the overheads will be on staffing. They need to initiate a buyback to take out 10% of the company. Less than $40 million to do this. Sell 1% of Seaport to fund this following the lock up period. Management has to try something!!

Take care dallo. It’s sad to see you go and wish you all the best with your future investments.

It feels that way doesn’t it. 18 months now and apart from a flicker above 140p, it is the ceiling.

Yet another disappointment in the Puretech saga. We need to cut half of the directors off the board. Paid a huge salary to merely spectate, and as Golfnut has stated, bring Tang on the board and shake it up.

Puretech has virtually become a holdings company now. Drop the headcount, wind down the R&D and seek the best valuation in the assets we have remaining.

Share price performance has been woeful for a long time. Management can’t seem to add any value. Following the steep decline post 2021, the share price has been range bound for over 18 months, despite the spin out of two assets and advancing pipeline.

It’s as unloved as a stock can be.

Rob was on the money with his timelines. Early Q3 and it’s all done. I’m pleased that the company were able to raise $150 million from a range of investors and demonstrates the confidence they have in Celea.

The $30 million initial funding from Puretech is on the lower end of my expectations for a valuation of $107 million. I’m guessing there will be a further raise mid P3 trial, early 2028 and the company have ring fenced capital to avoid a heavy dilution.

I personally don’t believe that Puretech will a publicly traded company by that point.

Updated sum and parts valuation

Cash - $180 million (post fundraise)

Seaport TX - $358 million

Celea TX - $107 million

= $645 million or £490 million (£2 per share)

Excluding royalties from Cobenfy, Seaport and Celea which could be worth another $450-500 million and Gallop spinout in Q4-Q1 2027.

It certainly is bizarre to watch this range in share price unfold for a couple of months between 125-140p all while Seaport in this time has moved between $15-23.

All eyes on Celea funding to break the resistance and leave these prices behind.

Snowking - Even if that’s the case, the company will still have $140 million in the bank, no ongoing trials, and only financing of Gallop to conclude. Puretech initially funded Seaport to the tune of $32 million to retain 61.5% in the Series A funding so I would expect a similar figure for Gallop. This leaves just shy of $100 million in the bank at year end with possibly revenue from Cobenfy milestones in late 26-early 27 and from October, the company have the option to sell some Seaport stock on the market if required to maintain a strong balance sheet.

Puretech could wipe out 10% of shares for less than $50 million currently.

It’s the highest close for the SP. Another 10% and the Seaport stock covers our MC.

I saw that buybacks were mentioned earlier in the posts. Buybacks are likely to come in once Celea financing has closed. Cash burn should have turned down significantly once Celea and Gallop have spun out leaving cash for returns to shareholders.

Fantastic post Golfnut. After the Celea financing, we will have a better understanding of a fair valuation for Puretech. We already know it’s far below the current tangible assets (Seaport holding and cash) and that gap will stretch further provided that Puretech achieve a positive deal on Celea.

Seaport at $24 would be valued at equal to our entire market cap.

There needs to be a discount placed on our Seaport stake as Puretech couldn’t simply sell over 1/3rd of the company without cratering the SP, however, the sum and parts are simply light years apart from the market cap.

Seaport through $20 now stateside and Puretech languishing as always.