Medipharm Labs Corp T.LABS

Teuto or Verdemed?

[Lemoyne]

I've been following consultas anvisa for a while and Teuto would fit the big generic pharma LABS most recently signed. Active (Caldic) and Collect have had products approved for years now, so for sure, they aren't the new pharma partner and the sales these two contracts resulted in are immaterial.

 

I still hope that verdemed could be dealing with medipharm, but it seems to be a pipe dream since I've learned about Teuto link to LABS:

-Verdemed is mentioned in 10+ products approved by anvisa, 4 of which are for Eurofarma.

-Verdemed doesn't seem to have shipped any of the products they have approvals for (20, 50, 100 and 200mg/ml concentration CBD in 30ml formats and other weird concentrations). That is since july 2023. Those concentrations fit LABS products. There doesn't seem to be 20, 100 and 200 CBD on brazilian websites. ->Eurofarma products supplied and approved for/by Verdemed cannot be found on brazilian pharmacy websites.

-Verdemed is registered as a CAD business on anvisa website, which would mean LABS would not appear on paperwork if it is supplying Verdemed in Canada. (Verdemed would be the one importing into brazil)

-Verdemed announcements weirdly coincide with LABS timeline in 2023

-Verdemed has received a new product approval in sept 2024, coinciding with LABS cc comments about brazil.

-Why woudl Verdemed products not make it to brazil since their approval in july 2023 (Verdemed) and Nov 2023 (Eurofarma). Was it because they were waiting for the last product to get approval for imports to start?

- Nothing would forbid LABS to sign Verdemed and Teuto.

[QContinuum1]

It's rather extraordinary that it takes speculation from individual investors on material business activities with no communication from the company whatsoever on those same activities. We are 5-10 business days away from the next Q release and there is nothing but silence.  Strachan getting shuffled hardly represents a materially relevant event when there are apparently so many irons in

[okgonow]

  weren't they saying because of an NDA they could not disclose partners name??

[QContinuum1]

That was the excuse for Epidiolex as I recall, not about Brazil, but I could be wrong.

[Starkicker]

Pidduck said this stock should be at least 14 cents but if they don't explain their progress/partners why would anybody put money into it? It won't achieve that on current revenues and nor should it.

[Lemoyne]

There is no rush in generating value for shareholders at this point from a really short term perspective. They have a business that is stable balance sheet wise and have cash to last a few years. Whether it happens in 2024, 2025 or 2026 doesn't matter. If they manage to build a good profitable business and they grow revs, market cap will follow.

[okgonow]

absolutely yes they have built a stable Buisness with hopefully positive cashflow as of Q3 so they have executed on all that but it is a public company and relys on shareholders and the management has a fiduciary duty to grow SP for us! Thats part of the gig 

[Lemoyne]

I don't know about Q3 cash flow positive but certainly, management has 10s of millions of reasons to get the share price high. Most of all Pidduck due to the sheer number of shares/options and warrants he owns but also Taves, who has a high average since he actually put 500k of his own money into this pig. Pidduck has clearly structured his contract heavy on equity and has the most to win or

[CADInvestor12]

I can't picture the company being for sale, selling near these levels would be suicide for BOD ... at the current share count, MPL needs to be between $1-$1.50/ share before they can consider selling the company. Governments are finally on board, and the leglislative changes that we've been waiting for are finally starting (including upcoming US rescheduling).  I think Strachan

[Lemoyne]

Well that's the thing, although it hasn't been made public yet, the path forward is likely clear for generic epidiolex. LABS partner is most likely part of the gang that negotiated a deal. Therefore they know when and where their generic will be deployed and how much potential sales it represents. LABS clearly has completed its path to manufacture generic epidiolex for USA. Q3 and Q4 will

[QContinuum1]

All very reasonable assumptions, but in the absence of any confirmed guidance, it all means nothing. Pidduck needs to communicate and let the shareholder base how close these guesses are to reality. Epidiolex may not be any time soon if the mystery Medipharm partner is NOT on the settlement list.  Has Apotex settled yet?  There are some straglers and who knows where we fit into that

[CADInvestor12]

Frankly Pat & Keith couldn't lead a two car parade and have no business being in the C-Suite. If they were still in charge in today's market, we would've been bankrupt 2 years ago. I really do believe that we have the best CEO in the cannabis sector, Pidduck has steered this ship away from bankruptcy. It will drive me a little crazy but if they show continued growth in Q3, I can

[CADInvestor12]

Generic Epidiolex isn't the only path forward but it will likely be the most lucrative out of the gate. Once rescheduling happens the entire US synthetic market opens up, in addition to increased clinical investment. I think their only true compeitor currently is Brains Bioceutical, if I'm wrong please correct. We've kicked the can down the road so many times but it finally feels like

[Starkicker]

I agree. Selling at this SP would be illogical for anybody invested. It's impossible to say what dynamics are at work with speculative partners (especially with Stada up for sale and Apotex to go public in 2025), but selling this close to so many positive catalysts being triggered would be like selling a horse that just qualified for the Kentucky Derby for $5k. With respect to Keith

[Lemoyne]

It is not only Keith being moved to the board. It's also about other weird things happening at the same time that could point towards acquisition. -I doubt Keith would accept stepping down from his current salary package if he didn't know payday was coming reltively short term. They guy has bills to pay. - Hope facility not being publicly listed for sale... Is it even being listed for

[CADInvestor12]

You are giving Keith WAY too much credit. MPL could've fired Keith for cause, he was completely ineffective ... a glorified sales rep/ paper work desk jockey. Moving to the board give's him about $60K + he probably will still get some commissions and neither side wanted a lengthly legal battle/ this gives Keith an opportunity to save face Hope facility - most commercial real estate

[Lemoyne]

Unless you are close to the founders or LABS mgmt, I wouldn't make assumptions like that. Strategically, LABS has always been focused on the pharma side/ intl markets. And I believe most of those decisions were made or partially made by Keith. Because well, STADA was worked on and announced way before the arrival of Pidduck, Hunter or Taves. Maybe you are discounting Keiths role more than you

[QContinuum1]

FWIW, no doubt the pivot to pharma was done by Pat/Keith.  That was as shrewd a move as they could have made back then and it was a good one.  The business would have rolled over by now if not for that decision.  Don't think myself that the decisions that followed ex-Pidduck/Hunter have been all that great however, so I think there is some deserved stink eye to be given to

[CADInvestor12]

Lem, you’ve done some great research and have posted quality material, however you are over analyzing every little detail right now and in some cases are flat out wrong.    When MPL was profitable under Pat & Keith it was in spite of them, not because of them. Everyone was making money then, once the market soured, we saw how effective Keith and Pat were. Their initial focus on

[Lemoyne]

Lol, it seems you are reading my comments but interpreting them wrong. I never said Keith was a good operator. My comments regarding Keith have all been about vision and strategy. He was at the helm of LABS while those decisions were made. Period. He has vision and seems to be a good strategizer. Imo, that is why he is being moved to the board. And this move, imo, signals LABS is shopping itself

[Lemoyne]

Also, it's not because you don't want to sell at these levels that other people won't. Most of the LABS boards are filled with longs having ridiculous averages. What you believe LABS can achieve might not be reality from mgmts point of view. Even with generic announcement, you might be disappointed in what the real valuation will be. I'd personnaly be happy with 100-150M market

[QContinuum1]

100-150M MC, The pox on you.  lol

[QContinuum1]

The irons in the fire thing has been ongoing for a long time.  So when we talk about 'how approvals' flow, the most important thing about that is 'WHEN'.  If we're waiting for rescheduling, as an example, we could be waiting for a good long time until the knobs down south figure stuff out.  It's the 'when' and guidance we need.  Pretty sure

[QContinuum1]

I think you're giving Strachan a bit too much credit but certainly he has some sector insight that some may not have.  But how involved has he been in leaping over the regulatory hurdles and setting up these international partners?  Not sure.  It could be that the real knowledge and heavy lifting was done at lower levels and he is (as some have argued) nothing more than a BD guy

[Lemoyne]

A simple reasoning would be they are waiting for shipment to happen. I would not be surprised the contract was signed with conditions related to a list of regulatory approvals and/ or milestones regarding shipments.