RE:RE:RE:Alternate Financing for NASHBut who is that market ascribing that value? Mackie, Canaccord and NBF - not a very influential gorup. MAckie is still only saying a 25% chance of success, Canaccord ran some numbers but really did not work hard at it and NBF has not run any numbers. Why is anyone accepting this lame evaluation of TH's NASH asset? What if Piper, Raymond James and HC Wainwright ran the offer and said they believe that Loomba, Harrison and Grinspoon are medically correct (which they likely are)? And that if that is true, then TNSH is not that much different than AKRO or IVA. It would take some selling, but there has rarely been a better time to sell something that is fake (as CYDY has proven) and this is likely true.
Do you think TH has a lower probability of success in NASH than AKRO or IVA?
Wino115 wrote: I have a hard time believing a market that currently ascribes a rather low value to the asset would readily accept it at a massively higher valuation. One bigger than the current company they could buy for less.
One alternative was put up here before. It was a healthcare oriented venture bank that lent to biotech projects for future revenue streams. I don't recall who posted it but it was a deal where they Committed a chunk of money to see a drug through a trial and they released portions of it based on milestones. The interest rate was either low or non-existent and the economics were they owned a portion if it was successful and also got the principal paid back. While the company sounded very legitimate and it's creative, it adds nothing beyond money as opposed to a pharma industry player doing something similar but also providing some intellectual value-add.
qwerty22 wrote:
I had a thought of this as well but didn't know how doable it was. It seems a way to force a valuation and also limit the risk to the company somewhat.
SPCEO1 wrote: Paul mentioned they are pursuing alternate methods to finance the NASH phase III trial. What might that include?
One option would be to spin off TH's NASH assets as a spearate company. If they did that it would be fascinating to see the brokers suddenly ascribing value to NASH as they compete to get the lucrative fees in the listing. It should not be too hard to separate the NASH assets either. Probably two of the best companies to compare TH's NASH asset to would be AKER and IVA. They have market caps of $866 million and $535 million respectively.
TH could list TheraNASH (my suggested name) for a valuation of $500 million with TH keeping 60% of TNSH's stock (my suggested symbol) for itself and with the other $200 million going directly to TNSH to fund the trial.
We are at the top of a huge bubble. Brokers like large fee income. Something like this could probably be pulled off.