RE:RE:RE: re- "doing the math "EBITDA is a common valuation metric used in valuations in the M&A market.
As a metric for ongoing profitability - I would probably agree with WB. For example co's are not allowed to report EBITDA/sh.
However EBITDA is probably much more reliable as a valuation metric for a company that will commercialize in the future. More reliable than just top line revenues estimates or a revenue multiple as it should take into account any and all distribution contracts, margins, and ongoing royalty payments (despite what Hmmmm would have you believe)
The good news is that Spectral, in the future, will not get mired in (1) R&D (past FDA approval) (2) marketing and (3) sales. These ongoing expenses will come out of Baxter's share.
But the more likely reality is that Baxter will buyout NA Rights from Spectral, and Toray will be the manufacturer with multiple worldwide Distribution partners. Why have a middle man? Especially one that knows very little about marketing & sales & promotion.