Member Info for Porky9

@Rightback

Its of no bloody relevance what so ever

The forum should be to discuss the stock, nothing else, i fail to see what your problem is other than you don't agree with my stock evaluation/ view point.

Look good luck to you, the Board have failed to deliver to date but maybe that's going to change for you, hope it does for you.

Good luck

Oh and for you information i actually like Suzy a lot, she is just in the wrong job role and should be head of sciences NOT in the CEO role.

Now stop drawing me back in to comment.

@TDK

Post my address here, go on.

You are full of cr@p

@Metom

Can't do a thing until the BOD changes and Adam bottled it pre the AGM

But the changes will come, just a short matter of time.

Take care, catch up with you in a few weeks time.

Pork's.

@TDK

Not that i need to justify myself, I am incredibly well liked and probably first at the bar to buy you a pint. Not sure the point of your posts and veiled threats really, all a bit silly and you haven't a clue but you can post what you like, its a free country.

@RB

So in your world I'm some weirdo with a grievance because i don't along with the ramping crew? give me strength. I have evaluated this from a "investment" perspective not from an "emotional" perspective and given detailed reasons why i believe a) board changes are required b) why cash burn needs to come back under control and c) why a change in direction and focus is needed.

Anyhow, don't draw me back in comment, i will return when they confirm the placing IF they can secure the support which will be challenging. If only the board were as loyal to the stock as you two clearly are.

Good luck

Until then, ramp away if that's what makes you happy in your own little echo chamber - good luck with that.

2/2

B) Why they need a placing during H2

VAL have been open and clear about this but certain posters prefer a fantasy version.

The placing needs to be issued during this H2 and they can’t leave it until the death people’s jobs depend on it.

See/ read Final Results to end of Dec 22 - RNS: 5th June 2023

https://www.lse.co.uk/rns/VAL/final-results-and-notice-of-agm-30h253v0wzrr6iv.html

Cash Burn c£200k pcm

Cash at bank Dec 22 - £ 1.137m Plus Post Year End Raise £1.3m before costs so let’s call that £1.2m plus R&D tax credit £ 192k in H2 = circa £ 2.5m

BUT: Spent £170k on Imagen assets since plus the staff additions in support so we are looking at roughly £2.3m or 12 mths cash runway from 1st Jan 23.

So based on current cash burn you are looking at a cash runway to end of this year. We have circa 5 months of cash runway left. They need to sort this now if they can.

Meanwhile, the resolution supported £40m shares. They actually asked for £20m Placing, £20m supporting and £10m for share options = 50m but Adam must have decided to vote against the 10m options otherwise he would have got all the board reappointed and let them have 10m options on top which would really would take the p@ss frankly especially based on performance. All bonuses should have been returned imo but the board did not do the honourable thing - far too much self interest, what's in it for them attitude.

Now @PM2022 will say they will get money in from 201 and lab cash to hold off a placing but the reality is that anyone in business knows there is a difference between invoiced revenue and cash flow, we are in a biotech funding drought hence, they will likely need to offer payment terms on any lab business and as for 201 sorry but commercially THX likely wont get funded but moreover don't need to be as they have what they need without risk - that's business. They need placing cash to meet the plan requirements as it stands.

So Let’s see what the placing comes out at and IF it can secure support or not, in this market it will be tough IMO but time will tell.

1/2

A) Boards attitude to Cash Burn

When Kevin got involved post crash April 21 at 3.5p (now 2.25p based on same shares in issue) his first pledge was to get costs under control despite the FD Gerry who resided over that nightmare still remaining employed on the board. That year the Cash burn was reduced to a more manageable £1.4m. To quote from Results RNS April 21:-

"demonstrating quarterly cash requirement of approximately £350,000"

see:- https://www.lse.co.uk/rns/VAL/final-results-30p49u1os0trvg6.html

By the end of June 21 they had worked to reduce cash burn even further and delighted in telling us that and at the half year to 30th June 21 had successfully reduced cash burn/ loss to £785k in the half year:-

"Loss before income taxation of £785,434 (2020: £884,523)" so well done great work!

see:- https://www.lse.co.uk/rns/VAL/half-year-report-e5h1zbu3whc0sz3.html

Wind on two more years and NOW it has ballooned back to "Total comprehensive loss for the year ended 31 December 2022 of £2,366,488 as compared to £1,518,212 in 2021" see results statement:-

https://www.lse.co.uk/rns/VAL/final-results-and-notice-of-agm-30h253v0wzrr6iv.html

So i say, yes there are reasons for this but its "business as usual" back up to high pay and paying bonuses out of placement money, lack of fiscal control yet again, not delivering on key pledges, yet more cash required and its the shareholder funding all of this....

At the current burn even if they secured half a million value of lab contracts in this next half, highly unlikely, it would give them what another couple of months cash burn? They need a lot more capital to build out a CRO in this market hence why the BOD are NOT buying shares.

In addition, by not adding the number of new peptides to evaluate they pledged 6 to 8 was it, even if they added one tomorrow its another year off plus so yet more lost time, again you are paying for that. AND don't get me started on the shambles that is 201. Had that gone to a player with funds we could have been two years down the line now in trials and would know if it works or not!

So from my analysis i believe that the BOD have materially let investors down and not delivered. The focus has now switched to building a lab in an already struggling saturated market of CROs and they will need a load of cash to build out and position.

But above all, the attitude to reckless spending is back to how it was previously. That has to change,

@Kheldar

This is the sort of thing that annoys me. The BOD have no obligation to hold private investors hands and issue unnecessary news releases or otherwise about placing, if you read the financials declared its fully clear. The cash runway runs out end of the year so a placing is required shortly and they have been open and honest about that.

It is posters like @PM2022 constant ramping and telling everyone they have cash well into 2024 that distorts this. Tell you what i will do, as it’s out of hours and the post can’t be removed I will detail in a moment the facts regarding the cash position. @PM2022 can request it’s removal tomorrow and go on ramping

@OB

I’m not some nutter, I don’t have some dark agenda, after I repost the financial position, I’m done and out of here until the placing.

Last thing I want @OB is to disappoint great guys like you, I think you are terrific tbh, a real decent guy OB

I actually want to help this company but I can’t with the board as it is, it has to be changed. I see the dealing of 201 as a travesty and I see all the business errors and I can’t understand why they keep doing them. Further, starting a CRO at the backdrop of the current climate is utter madness and how they have let cash burn get back up to the current level after the previous crash is just beyond me.

I’m waiting to see if the placing gets supported and what Adam will do when he finds he needs to Chuck another £500k at this? That could be the catalyst to change things, I hope so.

If I can do anything to get this back to a cancer cure/ discovery business, I’m in. As it stands it’s a wasted opportunity that must change. Hope that helps you understand my position.

Good luck

@DarthInvester

They sure need to...

To the relief of the ramping crew, if @PM2022 can tone down the continual ramping i will avoid replying, can't say fairer than that.

I will revisit at the placing, hopefully it will secure support at some level but i still think board changes will need to be made and a refocus on getting cash burn back down again.

Good luck all, take care

Pork's

Yes, agree could be an interesting period but for different reasons:-

* 201 still on Backburner as THX still wont have secured funding or handed any cash over. Nor do they need to.

* CLX and 301 currently still being worked on, CLX is a pre-clinical asset and will need at least another 18mths-2 yrs to work on it. Neither asset likely to bring cash in during the short term.

* Any lab contract likely to be minor in relation to the current high cash burn. Let’s face it if they won half a million quids worth of contracts (not likely) it equates to what,,, 10 weeks cash burn! It is going to take significant time and significant cash in sales and marketing not to mention new contracts to cover churn, many contracts like the recent one are short period projects (3mths) hence constant wins required plus increased staffing and cost as they grown due to lab work being so labour intensive.

* Should have added new evaluations over a year ago as originally indicated 6-8 , now very late to market, if new one added tomorrow it’s minimum of another year of work on it to fund and no income in. Should have been a year down the road on new valuations in pipeline but focus has shifted to labs.

* Placing at whatever price they can secure support at, suspect 50% discount similar to PYC in current climate. 3.5p placing possible IF they can get support.we will know shortly.

* Business will continue with high cash burn, oblivious and Suzy will still remain “unconcerned” and none of the board will buy any meaningful amounts of shares due to the expected further dilution risks.

We need to see a) board changes b) cash burn reduction and c) material changes to the business plan.

Be interesting how events unfold for sure

Pork’s

PS - @PM2022 keep ramping, I’m sure you will

@Kheldar

The POINT is the BB should be a discussion forum but its not

Its a pure echo chamber dominated by four 24/7 ramping posters, they don't like the fact that the company will need a placing for working capital anytime now so delete the posts.

This one will be deleted shortly.

You are correct, i don't think its worth investing in at 3.5p, i genuinely think they will struggle to raise in this climate. For me we need to see a) Board changes b) significant reduction in cash burn c) change in direction before this is investable.

At 3.5p you might get some traders who will support in the hope of a quick ROI on a flip to 5 or 6p but as for a long term strategy, the current plan to build out the labs is going to need significant cash to happen, they have a long journey ahead, its how it is.

He is losing the plot if you ask me

Rather than direct anger at a few shareholders he should re-evaluate his holding and ask himself if he still thinks the investment profile is the same now as it was when he first invested two years ago?

If he wants to point anger it should be towards the board, they make all the decisions.

FAO @the ramping club

Freddleboy, Iceman @ PM2022

Please just consider when ramping this 24/7 that there are some that can ill afford to lose money. Just think about that.

This is a VERY long term investment here, the labs will need a significant amount of time and money to position and even if they get support for the placing there will likely be further dilutive rounds to follow.

Jeeze @PatientInvestor8 (AKA Iceman)

There is ramping and there is your comment just now...

“Hesitating to accept £50m for a pre clinical peptide”

You are on a whole new level...

@PM2022

Debate the point if you don’t agree. Why cut past historic researched points on 4D? Has nothing what so ever to do with this stock.

The Director of 4D lied about about their cash runway position

VAL has different issues.

As I keep saying with Penny shares often what they don’t say is more important than what they do say.

Counter my points made? I’m starting to think you work for the company???

Problem here is you know I’m right.

Have a great day

I believe the business model needs a total re-think.

Personally, i would like them to ditch building their own CRO and just focus on finding and positioning as many possible new Cancer Cures as they can to make a difference and use one of the many external CROs. Not sure how long before market conditions improve but for me this is what i want to see.

It will be interesting to see what the market wants and IF VAL can get support for this next raise on the current business plan.

@Winstonwolf

The resident ramping club here will positively hate your post, but you do make a very valid observation IMO.

However, apart from what is now an expected further raise that will land anytime soon that can only come at significant discount due to market conditions there are two other big elephants in the room that nobody here likes to consider.

The FIRST is that following the small raise in January its clear that either the market to position and sell pre-clinical assets or early stage assets to big pharma to fund trials forward has fallen off a cliff due to the current biotech funding drought hence why they have never got a deal done to date or the BOD are inadequate in negotiating skills to get deals done, either way its an incredibly long period of time that needs funding without success to date.

Not adding new evaluations to the pipeline hasn’t helped either however, I can see why they have had a reluctance to adding new if they don’t have confidence that they can position the asset quickly enough to get a financial return. Yet this is the key area that Investors like, everyone wants to find and support possible Cancer cures. The focus and direction of the business has now changed.

If we read the new brokers note from Turner Pope following the Jan placement its clear that the as a result the business model has switched completely to building out a CRO: -

https://www.turnerpope.com/wp-content/uploads/2023/02/ValiRx_13_1_2023_FINAL__BG.pdf

Now I’m not sure if I like the new business model myself. Initially they were going to buy a lab with an established client base, but they decided as they needed cash for working capital it was better to start their own up lab up but in doing so this naïvely materially under estimated how much investment is required to invest into sales and marketing to secure lab business.

Turning to the SECOND elephant in the room, to start up a new CRO is going to take significant time and investment. The market is completely saturated with small CROs all competing. Take your pick and this is before we even look at worldwide: -

https://ichgcp.net/cro-list/country/united_kingdom

This is why in the Turner Pope report they reference the need to BUY other assets so that the CRO can be positioned as something unique. Four were identified but come at more placing cash but this does make sense IF this is now the desired route.

Personally, I’m not interested in funding a start up lab and secondly the best ones in the market can only run at about a net 20% margin at best as they are so labour intensive, many close as they just can’t be made viable. This is a tough road to go down IMO and valuations for CRO businesses are really low. VAL would need to be doing millions in revenue to justify their current mcap.

Initially, I was advocate for a) making board changes b) bringing cash burn under control, I still believe essential however, now I believe the business model needs a total

@OB

LOL - very good

To all the usual ramping crew, Have a great day.

Pork's

@Freddleboy

"Your wrong porks...201 is alive and kicking"

Yes and Elvis is still alive and working at a fish and chip shop in Margate.