Because I reached out to HR and this is what they said:
The objective is to up list either concurrent or shortly after the next round of financing. The company is working on that financing currently and ideally that will happen in the not too distant future. Up listing and completing the financing is absolutely a major priority right now – especially on the back of the positive recent discussions with the FDA regarding their development plans. The meeting with the FDA that was disclosed in early 2017 by press release really validated the development pathway and to a larger degree, their business model as a whole. The FDA is definitely working hard to bring treatments for rare orphan diseases and pediatrics especially to market. That is absolutely a major differentiator with KBIO, they are utilizing FDA incentive programs to accelerate development pathways or also programs which provide additional monetary incentive, such as Priority Review Vouchers, or PRVs for short. I think the street underestimates the potential value that can be created with the lead candidate, benz. They can utilize existing clinical data and will likely be granted an orphan designation – and then also will very likely receive a PRV if the drug is approved and all goes as planned. Those PRVs are fully transferable and have sold from anywhere between $125 mil and $350 mil recently. That would definitely be a game changer. Of course, there is a lot of work to do between here and there, and no assurances can be made, but from a risk-reward perspective it is a very interesting opportunity.
The company has identified several other development opportunities that are similar in nature and will be pursued aggressively when capital is raised. There is a good sized population of opportunities that fit the profile, but a handful of select targets are at the top of the target list to acquire. The company should be able to generate revenues or tangible liquid assets which could be sold within a fairly short timeline as far as the world of biotech goes – that is potentially sometime in early 2017.
Numerous near term share price catalysts –
• PRV – these can even be sold at a discount prior to actually be granted, the company has already had talks with prospective buyers
• Orphan status designation would create value
• Partnering with a strategic to push the secondary candidate forward, lenz
• Up listing to a major exchange
• Acquisition of additional development candidates
