RE:RE:Re:Buyout Coming ?? Lololololol From my personal opinions posted on CEO.CA… A Buyout / M&A is not that far fetched… IF the stock pops to $1 on FDA EUA and 72.5M Warrants and Options get exercised (warrants & options ranging from $0.375 [i.e.: 20Mw/ HCW] to $0.55 CAD). Here’s my reasoning…
Post 1:
Video: https://m.youtube.com/watch?v=a99dzKOpyuo&feature=youtu.be
Watching the video, it’s clear on the 312m shares, warrants and options. If indeed there are 239.5m that are full shares, that would means 72.5m are warrants and options that sit between $0.375-$0.55.
Just blending these together rough average is warrants and options are $0.4625. / each. When these get exercised the company stand to add to their bank roughly 0.4625 x 72.5m = $33.5m CAD into the coffer…. On top of that is about $6m PP…. So $40m CAD IN THE BANK.… then sales $ soon from Venowave and AcuVid
Now if I was an Abbott or Quidel, and I saw a company that...
1. just received FDA EUA on a COVID-19 Rapid Saliva Test
2. Is looking at other rapid saliva test solutions,
3. Has some big sales potential & contracted commitments (AcuVid & Venowave)
4. Has a solution to beat blood clots caused by Covid19 vaccines and DVT (https://www.msn.com/en-gb/health/medical/covid-linked-to-33-fold-increase-in-risk-of-pulmonary-embolism/ar-AAVWrYw?ocid=entnewsntp&cvid=beaaf3efe6fb4277bbcf4a2be96bf1c1 )
5. Has a solution to address and kill Zika, which still has an FDA EUA that still available to pursue (https://www.fda.gov/medical-devices/emergency-situations-medical-devices/emergency-use-authorizations-medical-devices)
6. And has $38-40m in bank….
Then... that’s a takeover target, if I ever did see it …. Product, money, stock price post FDA EUA at around $1-$2 CAD or under $500m Cad Valuation…. ( I.e $400m USD….). Well, If I were ABBOTT or QUIDEL, I’d be looking at an M&A of Therma.
The concern of 72.5m warrants and options out is big, but often forgotten is the CASH that comes into the company to fill its coffers. $33.5m CAD, if the blend averaged at $0.465 from the various large volume of options and warrants that sit between $0.375 and $0.55 CAD. HC Waitright has 20M warrants at $0.375...that adds $7.5M CAD alone
Don’t forget people have to pay the company to exercise these warrants and options.
Post 2
The share price, sales announcements and warrants/options being exercised will all be watched by not only the competition but the institutional investors. If we’re lucky, we get a little ride. Before anyone is smart enough to see the treasury build up to $40m simply on warrants and option exercises…. Sales will add to that treasury… and that’s when I think it could get interesting. We’ll see. Simply my opinion around M&A based on OPM…
Post 3
OPM. Abbott, Quidel or anyone else, if interested in a M&A, would be after 2 specific things (1) the product/IP and (2) the OPM - other people’s money… ie Therms $40m+ money in their bank account.
Post 4
Last thing. Per the video 12% of company is held by insiders and institutions. That’s 88% owned by retailers. That’s a big vote on any potential M&A. If retail align with each other, their demands can be heard on a sale price... if that’s in the cards. We’ll see. Shares seem to be in much stronger hands today then in the recent past. Just how strong are the retailers hands when M&A discussions happen. That’s to be seen on the vote. Lol