Liquidation value?? Raginbull. You are confused if you think the creditors won't even get paid off, if the company gets broken up and sold off. There will be lots left over if that were to happen.
We have a cash flow positive vet division on pace for 35 to 40mm in revenue. A suitor will pay around 3 to 4 times revenue to buy a company. That is without factoring in the 2 new products not yet booking revenue (Immunocidin and Sin Susto, and the mother of all products - when it gets approved - Oncocidin). That is $1.05 to $1.40 (with a growth multiple, much more). Lets go with just .75.
Back in July 2009 Endo thought Urocidin was worth about 135mm and an 80 - 100mm trial. Some may think it is worthless now because Endo gave Urocidin back, but I think the phase 3b data will track the same as phase 3a. Lets not forget the next recommended treatment for refractory Bladder Cancer patients is Cystectomy or removal of the bladder.
In 2009 we had no completed phase 3 data, the capital markets were a mess, corporation were hoarding money, the stock market was just beginning a correction and we were left at the doorstep by Watson Pharma. Today we have 1 completed phase 3 peer revieved study, another half of phase 3b trial data (as of March 31), companies are fat with cash, capital markets have have loosened substantially, Big pharma is on the lookout for revenue in a big way and the stock markets are pretty giddy. Lets not forget that MCC Oncocidin now has pre clinical data that shows within 48 hours of chemo, white blood cell counts and platelets are back to normal. That is an immense market that wasn't there before. If Endo thought Urocidin was worth $1.35 then, I would think it would be worth at least that now probably more. Lets go with .75 though.
Bioniche One Health's valuation is a difficult one. I would say the market values it at around negative $1.50 right now. If they tried to sell it as is, someone might throw us a bone of .20 for an almost GMP validated plant and Econiche. With GMP in place or Econiche subsidy, it becomes worth much much more. Probably more along the lines of .60 to .80 to a pharma with a hand in the worldwide vaccine biz. Lets make it .25.
If someone took over the company they would also have access to a $130mm deficit (not debt) that they could use for tax write downs. That in itself is very valuable.
So we have .24 owed to RCP and .25 owed to the Feds / Provs and another .05 LOC with BDC. .54 in debt. If we sold all of our assets for $1.75 subtract the debt and we still have $1.21 leftover. a 5 bagger from these levels.
GLTA
beech