Knight Therapeutics Inc T.GUD

Share Buybacks & Use of Cash

[longrun86]

I will start out by saying that this post contains "speculation" on my part.

An interesting point was made with the release of the Q2 results. Knight had made no further purchases under the NCIB. While the share price had appreciated somewhat, I don't think that it moved too far out of "value" territory.

Given the comments made by Management and the strategic use of capital, I believe that Management has identified better opportunities for the deployment of the current cash balance through both organic and in-organic opportunities. Time will reveal if this is in fact true.

The other potential view is that they view the "investment & loan" portfolio as requiring a bit more time to play out and reach maturity where they can realize the value and convert to cash.

I look forward to seeing Knight grow and make strategic investments in the coming quarters.

LR

[MrMugsy]

True Longrun. During the conference call, I think Samira also indicated that she was interested in beefing up assets for Canada and Mexico - seemed like that was her priority right now. I could see GUD focus cash spend on acquisitions - if they are seeing opportunities.  Makes sense.

[gudisgood]

It's possible they've identified some bigger opportunities - perhaps even likely. With that said, here are some points that I believe affect the management's logic for buying back shares: + Potential opportunities for Mexico and/or Canada in the horizon. Something could have come up in Brazil or Colombia as well. + Lower cash balance than before. Given the current share price (=can

[Chianchin]

The gene is not coming ever to save your 9 years hopeless hopes 

[MrMugsy]

I'm not suggesting this would happen but I'm just referencing an old playbook ... They could take part ownership of an entity or entities. For example ... up their ownership in M8 from 5% to a larger minority ... OR ... a slight majority. Guess you could  structure a full buyout over a period of time ... based on measurables. That would conserve cash and it would allow you to use