Post by
Actuarial on Jul 13, 2021 7:16am
The Nuance deal alone is worth $3 per share
Just assume China OtenA revenue is $200M USD. At15% royalty => $30M USD for ATE. Assume valuation be only at 5 times of revenue => Nuance deal is around $150M USD => $3 CAD per share. And, China is only 10% of the world market. Plus, the peak sale of OtenA is much more than $2B as we have already known.
So, the only uncertainty is whether OtenA would be approved by FDA or not. And the odd is in favour of OtenA given the stellar result from PII.
GLTA longs. We will be well rewarded with our patience. It could be sooner (a partner deal or buy out) or later (get final approval by FDA). The timing is a vairant, but the result will be the same.
Comment by
Actuarial on Jul 13, 2021 7:28am
Don't forget the milestone payment of $80M from Nuance. That's another $1.2 per share in addition to the $3 from royalty.