Member Info for Sangijuelas1

This is now a highly speculative stock. A red or black play.

I prefer to invest and this has become a gamble.

Hence not buying at this seemingly low price.

I stopped trusting them when they said they secured a loan for $12.5m that only turned out to be $5m available to spend.

4D say they need $45m once the current cash dries up.

Their USD market cap is about $72m.

Good luck with that one.

Hopefully Merck will buy but I think they will have their attention focused elsewhere with the bargains on offer at the moment.

As for them providing funding I think that is unlikely because they are not a charity. And I don't think 4D have done enough to warrant that.

Just my opinion, not advice

Which was probably to cover

Phil if the company runs out of cash and they can't raise any how exactly are they going to prevent the company from going under?

What am I not getting Sharcus?

Enlighten me. Did they get all of the initial $12.5m to invest or did they have to deduct $7.5m and send it to a US custodian bank as per the terms of the restrictive loan covenant.?

And Phil the company are not going to answer me if I ask them how much cash they have right now as it would obviously be inside info.

I don't think they do have it.

Note 6 to the annual report financial statement on the loan

"On 29 July 2021 the Group entered a loan agreement with Oxford Finance S.A.R.L. for up to $30 million maturing on 1 July 2026 and secured against substantially all of the assets of the Group and drawing down the first tranche for $12.5 million or £8.990 million at that date.

Interest-only monthly payments will be made until either 1 September 2023 or 1 September 2024 dependent on certain milestones. In addition, a 6.0% or 6.5% final payment fee will be charged, the latter being dependent on the extension of the interest only period, though this fee may be discounted to between 3% and 1% if the loan is repaid before the maturity date depending on certain criteria.

In addition to the interest and final payment fee, warrants were issued for 212,568 shares at an exercise price of $1.18. Further warrants become available on drawdown of loan tranches at a rate of 2% of the loan value with an exercise price based on the lower of the preceding day's share price and the 10-day average share price prior to the further loan. All warrants have a five-year exercise period from the date of issuance.

The loan includes a restrictive covenant that requires the Group to maintain a cash balance of at least $7.5 million if the Group does not meet the conditions of the equity event. The equity event requires the issue of equity securities and other receipt of income from other partnering transactions, in certain combinations, of at least $45 million before 1 April 2022.

The loan includes various customary covenants limiting the Group's ability to perform certain functions that may affect recoverability of the loan, as well as providing penalties and repayment provisions in the event of a default. A copy of the loan agreement and further details can be found as an exhibit to our F-1 filings with the SEC, a link to which is provided on our website".

Phil when there was no cash raise by the 1st April 2022 they had to send $7.5m to a US custodian bank account, as per the terms of the loan agreement.
So did this come off of the end of year cash or was the amount cited independent of this?

Isas that was last year 3-4 months before the loan

Phil I don't need to ask them anything.

It's in their public statements to the market, which I quoted below.

This is not the 1st time I have raised this and it was the loster Sharcus who first highlighted it.

I am referring to the RNS in July 2021 and the annual report notes to the financial statement from April 2022

Everything I am saying is repeating what 4D have notified the market of.

If you can't be bothered to read what they have said that's not my problem.

The only thing that is not clear to me is did the $7.5m that they had to keep as cash have to be deducted from the end of the year cash in hand or not.

That is not clear to me.

isas they drew down $12.5m but they could only use $5m. The rest had to be kept as cash so not an actual lie, just omission

And I really don't know when Sunny thinks there was an equity raise of $45m by 1st April?

Last cash raise was when listed on Nasdaq

Don't get confused by the 2 mentiions of $7.5m

4D were loaned $12.5m but a condition of the loan was that $7.5m be kept in cash unless there was a fundraise before 1st April.

In addition to that a further $7.5m was to be made available once certain clinical milestones met. The main ones outstanding are starting the Bavencio trial and demonstrating 1 in 10 efficacy in non small cell lung cancer.
So they could still possibly get that.

But with the 1st tranch, why pay interest on $12.5m when you only get $5m to play with?

Probably because the loan was just cover for a raise to show the company was not desperate for cash.

And they didn't manage to raise so...

Hopefully they can source funds from elsewhere

You only read the headlines.

This is in the notes to the financial statement

"The loan includes a restrictive covenant that requires the Group to maintain a cash balance of at least $7.5 million if the Group does not meet the conditions of the equity event. The equity event requires the issue of equity securities and other receipt of income from other partnering transactions, in certain combinations, of at least $45 million before 1 April 2022."

So the initial amount provided was $5m, not $12.5m.

The actual loan agreement specifies that if no raise before 1/4/22 then they need to send $7.5m to a US custodian bank account.

So insult all you want. I really don't mind

Sunny I am posting factual information provided by the company.

The only way you are refuting it is by insulting me and calling for me to be banned from posting.

You seemed to believe I was referring to last years annual report when clearly I am talking about the most recent one, which details the loan agreement.

I don't know what you are looking at.

I am looking at an RNS about a loan agreement entered into in July 2021.

And an annual report released on 1st April 2022.

It would be a bit strange if an annual report from April 2021 were to disclose details of a loan arrangement that wasn't initiated until July 2021.

Sunny the loan agreement is outlined in the annual report, loan in July 21 and annual report covers up to Dec 21.

Read it and read the loan agreement which is attached to one of the SEC filings.

It is all clearly stated

He sounded quite disjointed at times on the podcast.

He said nothing that has not been said before.

I liked his comments about the lovely cathedral in Leon

From the annual report

"The loan includes a restrictive covenant that requires the Group to maintain a cash balance of at least $7.5 million if the Group does not meet the conditions of the equity event. The equity event requires the issue of equity securities and other receipt of income from other partnering transactions, in certain combinations, of at least $45 million before 1 April 2022."

Sunny I am going by the Annual Report and the actual loan agreement itself which clearly state that only $5m was provided with the other $7.5m to be held in cash in a US custodian account if there was no raise by April 1st

Wow you opened your Twitter account the same time as your LSE account.

Almost as if you started a new job

They were awarded the pay rises back in July last year when funding wasn't such an acute issue.