Avid Bioservices Inc (CDMO)

[Protector]

Yes, Doctor Garnicks operation is so small that he put his faith 100% in ONE customer, PPHM (Peregrine Pharmaceuticals). Talking of a leap of faith.

If any other company would BY CHOICE limit itself to ONE customer you would hair the investors yell it of the roofs. Risk concentration.

So Garnick must be extremely confident here. Of course that also gets him rewards behind the financial. He is invited to CCs/Annual Meetings or is present by tele-conference.

He even explicitly said to us on the annual meeting that his money is on PPHM. Of course with his track record at Roche/Genetech and his involvement in passing some of the most revenue generating drugs in the world through the FDA procedures and clinical trials he is in a good position to make the PPHM assessment. Otherwise then for us PPHM is very probably a ZERO risk in his book because he doesn't only see all the cards, he made part of the card book.

So yes, you have seen that correctly, Doctor Garnick's company is a one-customer operation but in his case probably the most rewarding customer in his whole career once Bavituximab goes commercial.

And he is in good company. Also Doctor Brekken or main UTSW shareholder disclosed to be a PPHM shareholder.