The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
Looks at the facts Joe. AZ1656 for use in covid isn't happening. The 'successful' results were over 2 years ago. In that time the immediate commercialisation has not materialised, Covid, whilst not gone is no longer seen as the threat it once was and CDT have even said they won't be pursuing AZ1656 for use in Covid. Not sure what other evidence you need. If this was really successful then it would have been snapped up within the last 2 years. we on the face of it got a good deal from CDT only for their SP to implode (like most of our investments).
Exactly right Bouncer. The BoD could do so much better and we have been saying this for months/years. We should all learn and move on but there was always the AZ1656 that kept us interested. Now we are at the point where we could see some form of return on that and the BoD are sat on their hands. Next AGM we really all need to think about our votes on whether to retain the BoD in their positions. We were close one time on Brent so the its not an impossibility.
BigDave has already covered this. see below:
Updated Corporate Presentation
https://www.conduitpharma.com/investors/corporate-presentation/
Conduit has a 100% economic interest in all indications under the AZD1656 Co- Crystal, except for a 17% economic interest in AZD1656 for use in COVID-19, which was funded by UKRI and Excalibur Medicines Limited. Conduit does not intend to pursue AZD1656 FOR USE in COVID-19.
Yeah agreed. Although the BoD seem to love leaving investors with a great deal of uncertainty, hardly working with us is it.
Questions they need to answer:
1. Why haven't they exercised option
2. What's the cash balance
3. How will they be funding the wages and running costs
4. What is the plan moving forward.
Obviously there are more questions but if they could just give us some clarity
Yeah I would like to have seen their investment plan knowing they used the last of the cash for Tribe. They must have thought something was going to come off and they would have further funds. They wouldn't be able to do a raise as no one would subscribe to it. Still can't work out why the option hasn't been exercised.
As ever the silence from the BoD is deafening.
Looks like we are long way from seeing any return in this investment then.
The BoD have had to of sold some shares in something as from memory i think they only had enough funds till end of Oct.
Wonder if we will get a quarterly update anytime soon.
100% agree bouncer. I was going to say yesterday that it didn't matter if CDT was 300% up as we don't (as far as we know) hold any shares in CDT. The current facts surrounding the original £2.35m investment in SGSC and the subsequent £400k on the put option is that we have not exercised the option even though we could/can. we have till Feb to do that and if we don't we will still have the 8% royalties on the commercialisation of AZ1656 for covid treatment, but as stated by CDT they will not pursue the Covid route for use in covid. This equates to us having 8% of F all.
There has been questions around the $5-$15 share issue price. I believe we can exercise the option now should we wish BUT if it is the point the vwap has to be within the 5-15 range then we are now sat hoping it reaches that before Feb so we can exercise the option. I said last week the vwap would have been around the $5 mark at some point so we could have exercised which leaves the point the investment would show a paper loss is the reason the BoD are not exercising the option. Which is pathetic as the paper valuation of VELA has never had any bearing on the SP!
Jeez Joe, you need to switch off. Also you completely contradict yourself. Last week you were telling us to have some faith in the BoD now you are telling us they are frauds! Make up your mind
Not sure where Joe got that from but this is from the most recent RNS:
The option has an expiry date of 7 February 2024. As previously announced by Vela the consideration of £4.0 million, payable upon exercise of the option, would be satisfied through the issue to Vela of new shares in Conduit Inc. and the issue price of the consideration shares will be based on the volume-weighted average price per share of Conduit Inc. over the ten business days prior to the date of notice of exercise, provided in no event shall the issue price for the consideration shares be lower than $5 or higher than $15.
Clearly states the issue price for consideration shares, not the Share Price. Fairly clear to me that the we can't get $4.8m of shares at the current SP which is fair enough as that would be huge dilution to CDT, they have safeguarded themselves to an extent.
Also worth mentioning that it hasn't been impossible for VELA to exercise the option as the vwap was over $5 for considerable amount of time allowing them the chance to exercise it.