RE: RE: Pressure heightened on BNC... Zep. The amount someone will pay will not be based on what Graeme and co. can negotiate. As I know you enjoy metaphors.... You take a hack realtor that is clueless about the value of a property. He lists it for 30k under market value. 10 offers make their way to the table and he ends up with 40k over asking. I would think that this is a similar situation. Market value wil rear its head whether Graeme likes it or not. Plus Evercore won't be pushed around like Bioniche has so many times in the past.
We have an Animal health company that does virtually every year somewhere in the neighborhood 30 to 35mm in revenue. They have 2 big new products that effectively haven't yet booked revenue. They have another that willl be a blockbuster in the Animal health world in Oncocidin.
Jennifer has stated that our new products are in fact being factored into incoming offers. Brian Ford stated that companies usually sell for 3 - 4 x revenue. (See Qualitest purchase by Endo for 1.2bb - 400mm in revenue) So even if we go the low end of Brian's scale, at 3 x revenue, that is at least 90mm. I would think there has to be at least 20mm factored in for new products. So at least 110mm for AH alone. Throw in a GMP validated vaccine plant (to the right buyer) and we should be upwards of 130mm to 150mm for Animal Health and the VMC.
Best news of all, is that Evercore and not Graeme will not be the one negotiating this deal....and after November 4th perhaps he won't ever have to again. We shall see. GL
beech