Member Info for Mulder

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Usual sh*te reaction - massive trashing of SP on a negative broker note but a muted reaction on a positive one. Shorts run the markets folks - make no mistake.

Usual rubbish drop this morning. SVT down 60p! On what?

GSK Ellipta� products. Vectura earns royalties on sales of Breo�/Relvar� Ellipta�, Anoro� Ellipta� and Incruse� Ellipta� under a legacy agreement between Skyepharma and GSK. Royalties earned under this agreement are subject to an annual cap of �9.0 million which was first reached in 2016 and was achieved again in 2017. The technology licensed to GSK is covered by granted patents with an earliest expiry date for one of the granted patents in major markets of November 2019. Legacy Vectura agreement with GSK In July 2016, Vectura announced that it had initiated legal proceedings against GSK in the US following GSK's decision not to extend the term of its legacy agreement with Vectura beyond 31 July 2016, by licensing additional patent families. A jury trial originally scheduled for December 2018 has recently been rescheduled by the court and is now likely to occur in Q2 2019. Following initiation of the US action, GSK commenced an action in the UK challenging the equivalent UK patents and Vectura has counter sued for infringement. The outcome of this action is currently expected in Q4 2018. A cumulative total of �1.9 million of expenses have been incurred in respect of this litigation, recorded as an exceptional item to the end of 2017. Anoro� Ellipta�, Relvar� Ellipta�/Breo� Ellipta� and Incruse� Ellipta� are registered trademarks of GSK. ************************************************************************************************************************************ So basically GSK backed out of a deal that would still be paying Vectura �9M per year in royalties? Not a huge sum IMO. GSK 'challenging the UK patent equivalents' - meaning?

Just going over the results to 31/12/17 again. Revenue �148M Gross Profit �91M R&D expenses �60M This is due to be lowered to �55M initially and then aiming for �45M I believe 2019 onwards. Corporate and admin expenses �10M Selling & Marketing expenses �4M Operating PROFIT �18M [excluding exceptionals/amortisation of �110M] Adjusted EBITDA is higher at �26M *********************************************************************************************************************************** Ward-Lilley said the group still expects strong growth in total 2018 Group revenues, driven by inhaler flutiform and the Ultibro/Seebri Breezhaler. Cash at the year-end was �103.7mln. Two lead enhanced therapy programmes, VR647 (US) Phase II study in children with asthma and the VR475 (EU) Phase III trial in severe adult asthma, are both expected to complete in the second half of the year.

Lindon what's the worst case scenario for Vec with regard to these court cases? That is what the shorters seem to be banking on. Court costs, any payment to GSK?

The sudden spikes to 125p and then 106p just 2 weeks ago show the true value/potential of Vectura. Telegraph and their 175p GSK bid another example. Amortisation and depreciation losses distort the annual figures here just as at Drax for example which always seems to report a loss. Underlying earnings show a different picture however at both. (Drax up to 320p from 220p this year). SP movements have been reported to the FCA and board BTW. The book price/NAV is also nearer 90p here.

raxfactor no they are NOT losses. Adjusted and underlying earnings show a profit - some of the intangibles/goodwill have been written off. For the coming year R&D will also be reduced.

The unexplained volatility here in recent months has been a disgrace. The shorters have a free hand it seems and are treating VEC like a bankrupt company not one that is profitable, has minimal debt and over £100M cash in the bank.

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Highlights the risks of investing abroad and in volatile countries like SA that seems to be going backwards rather than forwards. Gwede Mantashe and Ramaphosa are hardly inspiring foreign investment in SA with their comments. SA could become another Zimbabwe if they do not change their tune and wake up. Talk of nationalisation will destroy the SA economy. High risk but also high rewards possible here.

This is the first time PAF has mentioned in relation to these cases I believe. No RNS or statement has ever been released as far as I know from PAF about how many cases they are liable for or amounts. Evander closure, threats of taking it over, mining charter, lung disease compensation - I guess explains why the share is trading at just 3x forward earnings. ***************************************************************************************************************************** JOHANNESBURG (AP) � Lawyers for gold miners in South Africa who got lung diseases while working underground over many decades have reached a compensation agreement in their class action lawsuit against mining companies. The Legal Resources Centre, a South African group, said Thursday that the deal provides for "meaningful" compensation from the companies, which have estimated the total settlement cost at $395 million. The companies are African Rainbow Minerals, Anglo American SA, AngloGold Ashanti, Gold Fields, Harmony, Sibanye Stillwater and Pan African Resources. Thousands could receive compensation. Many people who are now sick worked in gold mines during white minority rule, when black miners received inadequate care and were vulnerable to silicosis and tuberculosis. Safety remains a concern in mining, a pillar of the South African economy that has been in decline. https://www.cnbc.com/2018/05/03/the-associated-press-miners-in-south-africa-settle-with-firms-over-lung-diseases.html

The union says workers at Evander have been served with termination notices on April 25. The National Union of Mineworkers said on Thursday it was concerned that Pan African Resources�s Evander gold mine had decided to retrench 1 722 out of 1 812 employees ahead of going under care and maintenance. NUM said workers had been served with termination notices on April 25 despite the union asking the department of mineral resources (DMR) to intervene. It said Evander was constructing a R1.7-billion plant to refine tailings, saying the money could have been used to save jobs. �If the company had used this budget to improve the ageing structure, as they allege, the closure of the mine could have been avoided,� the union said, arguing the mine had plenty of ore body that could have allowed the operation to run for another 40 years. �The NUM position remains firm that if Pan African Resources can no longer be able to continue with Evander they rather surrender the mining licence to the government instead of closing down [and] dismissing 1 722 employees,� it said. https://citizen.co.za/business/1913266/num-condemns-evander-decision-to-retrench-1-700-workers/

Doubt it A very leaky ship this one. 2 million shares sold in 2 transactions this week. Another 100K sold at the bell. Reasons unclear but battered SP.

Many believe Sosei were indeed thinking of bidding here otherwise why even issue an RNS? Telegraph rumours of 175p/share seemed a little far fetched but who knows especially given the vast Respiratory and inhaler portfolios at both companies. Several updates to come including Advair. Cash >�104M with minimal debt.

Perhaps the city boys want to load up one last time at these prices. Some may be selling part of their holding in case it falls through. What are you hearing notgreedy?

Yes the 115p and 74p that some were predicting not so long ago here look a long way off now. As Centrica have already pledged to scrap its standard variable tariffs any further parliamentary regulation in the summer on these would be irrelevant.

Last trading day in UK before the announcement on Tuesday?

Surely after all this the deal will go through. If not then what a waste of time for everyone!!