iBio Inc (IBIO)

[Top Penny]

IBIO - I like the following post from a poster on the Seeking Alpha website...

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Luke,

You need to do more DD to understand IBIO. Yes it is true IBIO will NOT be the company conducting (paying for) the studies and the FDA approval process. This is the why IBIO is different from ALL other biopharm's, and is NOT a drug/biologic development company, but rather a company selling a license to use this new manufacturing technology to make agents faster and cheaper than current obsolete methods. Also, unlike most other biopharm's, the burn rate for IBIO is very very low (only a few employees on the payroll), and therefore the last private placement (10MM$) gave them enough financing well into 2013 (no more dilution for a least a year). Yes it was Ken Dart who was the entity that did the placement (10MM for 20+% of IBIO, plus 10MM in warrants at 0.65). When I saw the form 13 stating Ken Dart bought over 20% of IBIO, I doubled down at 0.79. Let me give you some advise.... BUY ANYTHING KEN DART BUYS!!!! this guy is a pro and RARELY makes less than a 10 bagger (that's 6.50/share) and IMO IBIO is going over that by years end (just when his warrants kick in). I have been following Dart for years and own many of his holding, and guess what.....lots of Hockey Sticks!!

Regarding Fraunhofer.... this is another win/win for IBIO. Yes Fraunhofer is non profit and get the grants money as Julian points out, but they also do ALL the research and preclinical development for IBIO (a for profit company). This rare relationship allows IBIO to advance its technology without $$ (therefore low burn rate). Now you should understand how only a few contracts ( maybe 5-10MM per contract upfront) will create a real PE in this development stage spec company.

Lastly, you also need to do your DD to understand the timeline of development for biosimilar's and vaccine's. They are NOT 5-10 years for phase 1,2,3, etc... Biosimilar mAb's, and vaccine's do not need to go through phase 1,2,3 trials. Bioequivalent agents are GENERIC agents of brand name products. They ONLY need to prove bioequivalents (like generic drugs) and therefore the timeline is much reduced.

Best of luck...
Long and strong IBIO

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-IMHO