Theratechnologies Inc T.TH

Perspective

[jeffm34]

To put this deal in perspective, the company just sold 30% of all future revenues for Egrifta, Tragarzo, any Nash drug, and any oncology drug for $40M.  

that would be the equivalent of them signing a deal with a big Pharma company and saying  give us 40M and you can have a third of our company and you don't have to do anything else. You don't have to fund 30% of our trial costs, you don't have to fund 30% of our marketing. Just take 30% of our revenues and we will pay 100% of the expenses. 

I can't imagine experienced business people being  this incompetent. That leaves only two explanations.

1. The prospects for the company is pretty dire.

2. They were promised a second round of financing by these investment banks at a share price much higher than this round.

[jfm1330]

I don't like the deal, but this is false. 30% does not mean 40 M$ US it includes warrants and a possible increase of 15% of the offeering. So 30% dilution is for around 72 M$ US, so 92 M$ CAN. Still bad, but not close to what you say.

[palinc2000]

Had they made exactly  the same deal with a big pharma I would have opened my best bottle!!!!