RE:RE:RE:RE:AEZS q1"Also aezs management discussion confirms their expectation of significant losses for the foreseeable future"
They aren't going to fully disclose their expectations for upfront, milestone payments, and expected royalties from a diagnostic deal that is yet to be signed where the pediatric data is still to be released. In the meantime AEZS's says: "We also believe that our existing cash on hand will be sufficient to fund our anticipated operating and capital expenditure requirements beyond the next 12 months and through 2025."
Gilles is on the Board of Directors of AEZS and should have a much clearer view of what the potential deals look like for the diagnostic. If AEZS has the industry's only standalone test that can also be significant. We will see analyst royalty forcasts once the clinical trial data is released and the approval received. AEZS has also talked about potentially partnering the AIM Biologicals asset with proof of principle in humans which can provide upfront cash and shift costs to a partner.
The market cap of the merged company is trading below cash before a diagnostic deal and at only C$40 million market cap. AEZS's cash runway could deliver material valuation catalysts through 2025 in the context of a C$40 million market cap. Again, the Strongbridge deal also had an inflation-adjusted C$40 million upfront alone. They could completely sell the diagnostic test if they wanted for upfront cash.
When the merger closes and a forwqrd plan is released we may have a much better idea; especially with a diagnostic approval/deal and PGX deal. The merged company is also asset rish and could sell an asset(s) as needed to support priority plans.