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Hi,
can anyone share examples where a company was brought at 10 times it share price. Takeover generally happens at maximum twice the trading price. Hence we need to move to £10 plus to demand billion valuation on take over. This can only happen with some positive RNSs, license deals, positive progress with trials.
All the best to LTH. Hoping to see some upward movement soon.
you are right. the premium is always on top of the current price. However generally the share price would reach near its true potential before a T/O. Hence with some good updates like CTA, any license agreements, II funding etc, the share price should shoot when T/O discussions start. The SP would naturally find its way.
what I meant was that once we are in the range of £10+, it becomes easy to demand 2 billion which will be £28 SP. Let IIs take it beyond 10+ and then enjoy.
All the best. We are getting closer.
In order to receive T/O in north of £2 billion, the share price needs to move £10+. Don't think anyone would offer 10-15 times of the current SP.
Better to wait until SP reaches to a level which demands billion valuation.
There is no way to value potential drug treatments. The fact is 2 companies have joined hands at an agreed value. Now that is the value. Full stop.
People can keep on arguing if it was a cheap deal or not but does not matter. Same way as property, there is no guide to establish price of a house. All depends on buyer's interest, desperation and the value he sees.