RE:RE:What does Marathon know?The goal of a lender is simple. Loan out as much money as possible under credit terms that mitigate as much risk as possible. You only lend out money if you believe you'll be repaid. Lenders rely heavily on the company's projections and plans to determine what is reasonable within their own credit policy. These terms were driven by what THTX told Marathon were there expectations. I do believe that's good news for us.
SPCEO1 wrote: I am sure they did a lot of due diligence and could have been informed about some aspect of the cancer trial that the market has not but it is clear they made the loan based on the ability of the company to repay it based largely, if not entirely, on the legacy drug revenues. Which is the right way to do such a loan. If cancer works, all the better but Marathon's due diligence was likely more focused on Egrifta's and Trogarzo's prospects over the next five or six years. It is good news to us that they clearly think those prospects are good enough to commit $60 million in financing to the company and provisionally commit a further $40 million (the first two tranches are likely to be taken down as the conditions on tranche 2 are minimal while the second two tranches are not going to as easy for TH to meet the conditions).
So, if you were concerned about generic commpetition possibly blowing up Egrifta's revenue stream, one has to think Marathon had a good long look at that and concluded it is not going to be an issue in the next 5-6 years.
TH1902 wrote: Anyone else think that Marathon knows something the market does not?
I know that SPCEO mentioned that the data dump was EVERYTHING Thera had on TH1902
That $100M is making me think otherwise...