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Yup. As the price and volume is so low, anyone with 2-nickels can move it 5-10%. As has been the case for a while. That said, while the timing has been slow to say the least, their forward progress against committed partnership, products, geographic expansion and financials all continue to march forward just as the team has stated for pushing 2 years. The bears are looking at a tape and not providing any evidence that supports that thesis and feeling like that tells the story - inventors are growing impatient, but holding steadfast and planning a blowout party. #rafastrong
I'm hoping and ready for the same..
I definitely agree, but I was very excited to see the Augusta statement come out at all - it had been a while. That said, give the owners own ~90%, I expect little transparency. I’m in big, have been for 3 years, and I’m holding firm. For a long time, while timing and transparency have been off, he has executed on everything he said he would.. and then some. Next the audit, then the backlogged announcements the form 10… I’m hoping for a blowout Christmas!
I'm feeling it's definitely a bad look for the CEO to not meet his previous statement deadline to shareholders and then not provide an additional update. Let's Go RAFA!
RAFA is DeaD !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
IB_
Yep. Audit changes everything. It allows us to apply for uplist and hopefully brings in the bigger buyers.
Audit in the next 2 weeks… it should be a nice holiday season!
RAFA, just another scam ran by The Lying Birdman !!!!!!!!!!!!!!!!!!
IB_
But maybe vodka can help!!!!
Platinum based drugs do not appear to be well tolerated in cancer patients.
$RAFA Rafarma Enters Negotiations With Leading Global Producer of Precious Metals to Localize Production of Platinum-Based Cancer Drugs
Press Release | 08/19/2021
Nicosia, Cyprus, Aug. 19, 2021 (GLOBE NEWSWIRE) -- Rafarma Pharmaceuticals, Inc. OTC:(RAFA) and one of the world's largest producers of precious metals, Krastsvetmet (Russia, Krasnoyarsk), discussed implementing a joint project to produce the most popular platinum-based chemotherapy drugs. If successful, the capacity of the production line for potent, highly active, platinum-based pharmaceuticals will be up to one ton per year with the possibility of increasing and expanding the list of drugs.
This proposed cooperation has a high chance of success. According to experts, the use of platinum in the medical sector in 2021 will grow to 240 thousand ounces (+ 6.3% compared to the same period last year) with a forecast of a steady annual increase in the future. This upward market trend is aligning with the growing prevalence of chronic diseases, including cancer and cardiovascular disease, which is due to a continuing change in demographics (the elderly population is rapidly increasing), unhealthy lifestyles and air pollution in many regions. Our potential partner is the largest industrial enterprise in the country and one of the leaders in the world. It processes all types of mineral and secondary raw materials from gold, silver, platinum, palladium and other precious metals,
The joint production process will be a large capital expenditure but we are confident the partnership will come together and be well worth the cost.
Forward-Looking Statements: This press release contains “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934. Except for historical matters contained herein, statements made in this press release are forward-looking statements. Without limiting the generality of the foregoing, words such as “may”, “will”, “to”, “plan”, “expect”, “believe”, “anticipate”, “intend”, “could”, “would”, “estimate,” or “continue”, or the negative other variations thereof or comparable terminology are intended to identify forward-looking statements. Forward-looking statements involve known and unknown risk, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Also, forward-looking statements represent our management’s beliefs and assumptions only as of the date hereof. Additional information regarding the factors that may cause actual results to differ materially from these forward-looking statements is available in the Company's filings with OTC Markets. Except as required by law, we assume no obligation to update these forward-looking statements publicly or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
For more information contact:
RAFARMA
(307) 429-2029
Wow. Rafa is becoming a mega-company in front of our eyes. Just wait until you see Quarter 3.
$RAFA 2nd Quarter Results
*HIGHLIGHTS*
> $34,101,000 Sales Revenue
> $12,700,000 Gross Profit
> $5,090,000 Net Income
> $0.058 Net Income / per share
> $11,275,000 Cash on Hand
> Shares Outstanding 87,766,999
https://sec.report/otc/financial-report/297500
Things are starting to look up
RAFA
Great news! Lift off coming in 6-8 weeks baby!
No. Just this one.
Is this CEO affiliated with other pink stocks?
My educated guess is it will be finished in September. It will show a company doing $90 million in revenue per year and earning $15+ million per year.
And with the 200 projects rolling out over the next few years, those numbers should go 10x relatively quickly.
I do see mini point of evidence of Ilya traveling and signing deals. My guess is he has a handful
Of deals to share once audit is done.
Anyone have any guess as to when the audit is coming, what it is likely to reveal and what would be next… ? Thx
No… I still listen to him once in a while amd he’s definitely moved on…. But long term supportive
Agreed! Ilya (ceo) is a beast and has a clear and steadfastt plan… love it!
No, it’s not. He moved onto some different penny stocks. We are happy to have him gone.
Is RAFA still be promoted by The Lying Bird Man ???????????????????????
IB_
Revenue and profits just keep on growing each quarter and I think they will double each year from here on out. Today was a great time to add if you are a long term investor.
If you sold RAFA? why? I think its dumb to be selling now!
Show me the money!
Great $RAFA Video! - Construction Project Video Update @ "Tashkent Pharma Park" cluster | July 30, 2021 in #Uzbekistan
Black small square Admin Building
Black small square Laboratory, Center of Pharmaceutical Products & Research Center & New Pharma University
Black small square Pharmaceutical Technical Center
$RAFA Rafarma Signs Trilateral Investment Agreement Officially Launching Tashkent Pharmaceutical Plant Build
Press Release | 07/30/2021
Nicosia, Cyprus, July 30, 2021 (GLOBE NEWSWIRE) -- Rafarma Pharmaceuticals, Inc. OTC:(RAFA) The scientific and technical council of the Agency for the Development of the Pharmaceutical Industry of Uzbekistan recognized the Rafarma Pharmaceuticals’ project for the construction of the Tashkent plant as the largest innovative project of the industrial zone of the Tashkent Pharma Park pharmaceutical cluster.
Rafarma Pharmaceuticals previously announced its plans to build a scientific and pharmaceutical complex on the territory of Tashkent Pharma Park by the end of 2026. At the first stage, it is planned to organize the production of cancer drugs and drugs from human donor blood plasma, at the second stage, a complex will be built for the production of drugs based on antibodies (-MABs) and radiopharmaceuticals used for the diagnosis and treatment of various types of cancer. In addition to modern high-tech production lines, on the territory of 10 hectares, which Rafarma Pharmaceuticals will receive as part of the project, it is planned to create a network of laboratories for blood plasma collection that meet the requirements of the international GMP standard.
The trilateral agreement was signed July 24, 2020 by representatives of Rafarma Pharmaceuticals, the Agency for the Development of the Pharmaceutical Industry of Uzbekistan and the Directorate for the Development of the Innovative Scientific and Production Pharmaceutical Cluster Tashkent Pharma Park. The total investment will amount to $85 million (US), work on the project commences this year.
Forward-Looking Statements: This press release contains “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934. Except for historical matters contained herein, statements made in this press release are forward-looking statements. Without limiting the generality of the foregoing, words such as “may”, “will”, “to”, “plan”, “expect”, “believe”, “anticipate”, “intend”, “could”, “would”, “estimate,” or “continue”, or the negative other variations thereof or comparable terminology are intended to identify forward-looking statements. Forward-looking statements involve known and unknown risk, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Also, forward-looking statements represent our management’s beliefs and assumptions only as of the date hereof. Additional information regarding the factors that may cause actual results to differ materially from these forward-looking statements is available in the Company's filings with OTC Markets. Except as required by law, we assume no obligation to update these forward-looking statements publicly or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
For more information contact:
RAFARMA
(307) 429-2029
$RAFA Rafarma Signs Trilateral Investment Agreement Officially Launching Tashkent Pharmaceutical Plant Build
Press Release | 07/30/2021
Nicosia, Cyprus, July 30, 2021 (GLOBE NEWSWIRE) -- Rafarma Pharmaceuticals, Inc. OTC:(RAFA) The scientific and technical council of the Agency for the Development of the Pharmaceutical Industry of Uzbekistan recognized the Rafarma Pharmaceuticals’ project for the construction of the Tashkent plant as the largest innovative project of the industrial zone of the Tashkent Pharma Park pharmaceutical cluster.
Rafarma Pharmaceuticals previously announced its plans to build a scientific and pharmaceutical complex on the territory of Tashkent Pharma Park by the end of 2026. At the first stage, it is planned to organize the production of cancer drugs and drugs from human donor blood plasma, at the second stage, a complex will be built for the production of drugs based on antibodies (-MABs) and radiopharmaceuticals used for the diagnosis and treatment of various types of cancer. In addition to modern high-tech production lines, on the territory of 10 hectares, which Rafarma Pharmaceuticals will receive as part of the project, it is planned to create a network of laboratories for blood plasma collection that meet the requirements of the international GMP standard.
The trilateral agreement was signed July 24, 2020 by representatives of Rafarma Pharmaceuticals, the Agency for the Development of the Pharmaceutical Industry of Uzbekistan and the Directorate for the Development of the Innovative Scientific and Production Pharmaceutical Cluster Tashkent Pharma Park. The total investment will amount to $85 million (US), work on the project commences this year.
Forward-Looking Statements: This press release contains “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934. Except for historical matters contained herein, statements made in this press release are forward-looking statements. Without limiting the generality of the foregoing, words such as “may”, “will”, “to”, “plan”, “expect”, “believe”, “anticipate”, “intend”, “could”, “would”, “estimate,” or “continue”, or the negative other variations thereof or comparable terminology are intended to identify forward-looking statements. Forward-looking statements involve known and unknown risk, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Also, forward-looking statements represent our management’s beliefs and assumptions only as of the date hereof. Additional information regarding the factors that may cause actual results to differ materially from these forward-looking statements is available in the Company's filings with OTC Markets. Except as required by law, we assume no obligation to update these forward-looking statements publicly or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
For more information contact:
RAFARMA
(307) 429-2029
Huge $RAFA News! Rafarma Signs Trilateral Investment Agreement Officially Launching Tashkent Pharmaceutical Plant Build.
"Production of cancer drugs and drugs from human donor blood plasm." Total investment will amount to $85 million!!!
https://www.otcmarkets.com/stock/RAFA/news?id=314051
I saw that too. That's great news.
Wow. This is quite the project. This will equal major, major revenue for Rafa:
Signing Ceremony Rafarma Pharmaceuticals and Uzbekistan Pharma Park - YouTube
Why didn't they say RAFA to $300.00 ... I mean BS is BS !!!!!!!!!!!!!!
LoL LoL,
IB_
Research report just raised target to $16. Price is $1.42. Huge deals being worked on with Israel, Uzbekistan and others globally. 200 deals expected. Profitable biotech. https://drive.google.com/file/d/1TLtTnsCCrV9Y8QHz0Qg3V3TbYDQHFBQ7/view
$RAFA
New $Rafa Report...Price Target Raised to $16. Nice! Congrats, to everyone who is building a position here. The next few years look bright.
JULY 2021 RAFARMA IG EQUITY RESEARCH REPORT
Our Estimates
In this section we provide detail regarding our revenue, margin and cash flow estimates. Our estimates used in the multiple of revenues valuation approach are the same as those used for the DCF valuation. As we have discussed, there are a variety of factors that we expect will drive double digit topline growth over
the next several years. In 2021, we anticipate that the strong momentum from new partnerships and product launches will push revenues to over $119 million, in line with the company’s guidance. We anticipate conservatively that this proforma growth rate will continue in coming years as geographical penetration continues and sales efforts continue to gain momentum. 2021 to 2024 topline growth is conservatively forecasted to be 59% each year in our DCF model as the company reaches critical mass.
Rafarma is expected to use its consolidated businesses to achieve at least 2% penetration in the radio-pharmaceuticals, targeted drug delivery and AI therapies markets.
Although gross margins are anticipated to rise in 2021 and beyond due to the addition of higher margin products that make up a larger portion of total revenues, we have conservatively maintained the same gross margin as achieved in 2020. Over time, we expect that gross margins will converge to industry averages as
partnerships, manufacturing processes and sourcing are refined. Our analysis indicates industry gross margins of above 60%, however, we adopt a conservative approach and assume that Rafarma will only achieve a 59% margin in 2021 and beyond.
SG&A expenses are expected to grow at a slower rate than topline as many costs are fixed in nature and rise in step function as new capacity is added. The majority of SG&A is comprised of sales and marketing costs which are in lockstep with sales given the Company’s commission structure. The remaining SG&A is more or
less fixed and we expect Rafarma will continue to leverage this cost as revenues grow. Current SG&A of 11% is expected to fall in 2021 and beyond, however in our DCF model, we maintain this line item at 11%. Our estimates are used for both our DCF model and our multiple of forward EBITDA and revenues.
Ownership and Dilution
As of March 31, 2021, shares of common stock outstanding totaled 87.7 million, which includes all of the shares issued to Biocogency owners.
Earnings Summary
2H-2020 was a turning around period for Rafarma post reverse-merger with Biocogency. FY-2020 topline results were $74.730 million, a 59.42% increase over proforma results in the previous year. Net income from operations was $14.847 million pegging the earnings per share at 0.1692, and price to earnings ratio at
9.3381. While gross margin was 44.27%, operating margin was 25.53%. Cash balance was $5.4 million.
Valuation
RAFA currently trades at a forward EV to sales ratio of 5.38X using our FY-2021 revenue estimate of $119 million. Applying our revenue, growth and cash flow estimates, we calculate a price target by blending our EV/Sales and DCF valuations.
Target Price Summary
We believe double digit revenue growth over the next several years combined with sales synergies and continued relationship development with group purchasing organizations will result in substantial fixed cost leverage and profit growth. We apply a 5.94X multiple to our FY-2021 revenue estimate to generate a
revenue-based target price of $10.34.
Our DCF valuation applies a 12% discount rate to our five year cash flow forecast, which generates a present per-share value of $13.90. Refer to the following exhibit which summarizes our cash flow estimates and DCF calculations. Based on our valuation work, we have calculated a one year target price of $12.12, which is a 50/50 blend of our DCF and multiple of revenues target prices.
Summary
Rafarma Pharmaceuticals is levered to several key growth drivers, and demographic trends that are anticipated to maintain topline expansion in the double digit range for the foreseeable future. The combination of radio-pharmaceutical products, and targeted delivery products will benefit from sales force and product synergies that are anticipated to expand revenues at a substantially faster rate than expenses. The sales force has been growing consistently over the last year following a 2020 overhaul of the sales function. All the planned for growth segments have a history of developing, gaining approval and launching innovative products that address unmet needs in the anti-aging, immunotherapy, targeted delivery and nuclear medicine. Both company guidance and our estimates call for a double-digit proforma growth rate in 2021, and nearly $120 million in combined revenues. The company is also expected to be EBITDA positive on a full year basis in FY-2021 as well. Rafarma is trading at
a very favorable valuation relative to historical transactions in the space. Currently, the company is valued at 5.38X 2021 revenues.
Is RAFA still be "promoted" by the lying, scamming, Bird Man ????????????
IB_
Alpine, they are a market maker that was selling stock.
I'm sorry.. ALP? what?
ALP IS GONE - very thin to the upside
Audit won't be completed for another 2 - 3 months.
Based on a update I just heard I agree.
+$1.75 support this week. Read the tape. Buying all I can
We will see. Tough to call a bottom on this.
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Many OTC stocks are easily overlooked because they don't get the coverage of peers traded on national exchanges and consequently very few investors have the opportunity to know about them. A perfect example is the recent closing of a reverse merger increasing sales by over 700% and adding sizable international operations of private Biocogency into Rafarma Pharmaceuticals (OTC: RAFA) where the RAFA share price has not yet reflected the new added value.
On October 19, 2020, the merger of Biocogency into Rafarma was announced and went unnoticed. Although important metrics to determine share valuations have soared as a result of the merger, the share price has not yet caught up reflecting the new increased valuations simply because nobody knows about it yet. As word is likely to spread soon, the share price is expected to begin climbing to more fair and reasonable market valuations that could exceed expectations.
About Rafarma Pharmaceuticals
Rafarma Pharmaceuticals, Inc., a multi-product pharmaceutical company, produces and sells cannabis health-related products and specialty pharmaceuticals. The company formerly known as Johnston Acquisition Corp. changed its name to Rafarma Pharmaceuticals, Inc. and is based in Sandy, Utah with a manufacturing and distribution facility in Russia.
Biocogency owns PJSC "Krasfarma", the largest Russian chemical and pharmaceutical production company with more than 50 years of experience in the production of drugs that meet all national and international quality standards.
The Company helps meet the growing needs of health care for high-quality, effective and safe generic pharmaceuticals as well as development and production of innovative pharmaceutical products. Production systems with a strong emphasis on safety are carried out through a coordinated interaction of their quality control department, commercial department, logistics service, and scientific information department and pharmacovigilance services.
A rich history is not the most important thing in the modern pharmaceutical industry. To keep the quality of products on a permanently high level, a program of production modernization is being realized: investments in the company include new industrial lines, engineering systems and control systems, as well as new pharmaceutical products.
Safe and effective generic medicines of PJSC "Kraspharma", which are not inferior in clinical efficacy to the original, but sold at affordable prices, have won the trust of both doctors and patients.
Today PJSC "Kraspharma" is the Eastern Europe and Russia undisputed leader in the production of:
Most of the drugs produced are included in Vital and Essential Drugs List (VED) approved by the Government of the Russian Federation.
The products of PJSC "Kraspharma" are sold in Russia, Eastern Europe, Central Asia and in the countries of the Asia-Pacific region.
What Biocogency Adds to Rafarma
This transformative merger starts by restating Rafarma 2019 sales from $11.4 million to $84 million and delivers impressive growth rates of close to 50%.
The Biocogency group includes Russia-based drug companies Bebig and PJSC Kraspharma and industrial firm Slavich. Bebig is focused on developing therapies and diagnostics for cancer care in the Russian markets, including supplying microsources for the treatment of prostate cancer using low-dose brachytherapy. Kraspharma, Russia's largest chemical and pharmaceutical production company (and crown jewel of the merger), and Slavich, a manufacturer of a variety of products including packaging goods, materials for microelectronics and photo materials, are both steeped in corporate history going back half a century or more in Russia.
Biocogency also brings leadership committed to growing value as measured by the fact the deal was structured to be non-dilutive to existing RAFA shareholders. To that point, Ilia Shpurov has assumed the position of Chairman of the Board, bringing decades of entrepreneurial – and biotech – success to RAFA.
What's in it for RAFA? An Immediate Spike in Revenue and Profits
The merger with Biocogency is a game changer for RAFA operations and the top and bottom lines. Consider that in 2019, RAFA generated revenue of approximately $11.4 million and gross profit of $3.4 million. In the latest quarter, ended July 31, 2020, Rafarma reported revenue of $5.3 million and gross profit of $3.1 million, according to filings with OTC Markets Group.
Those results are going to get an immediate shot of adrenaline.
During fiscal 2019, the Biocogency group reported unaudited consolidated earnings of $73 million and gross profits of $17 million. As a course of becoming fully reporting and planning to uplist, the financial results are being audited and adjusted to meet GAAP standards.
Using the results from 2019, it is easy to extrapolate pro forma revenue of $84.4 million and gross profit of $20.3 million for the combined company. It is those type of financials that will underpin a move to the Nasdaq or NYSE.
More on how the price to sales ratio stacks up to industry comps are discussed here. Several Pharmaceutical market comps point to Rafarma share prices that are many multiples higher than the current price of $1.69.
When it comes to value, it certainly bears mentioning the investments that Biocogency has put into its pipeline and platforms since 2012, which management pegs at more than $120.0 million. Much of this investment has been directed by Shpurov since he bought the Kraspharma during the outbreak of the global financial collapse in 2008 for the purpose of restoring and expanding production volumes post-recession while establishing a high-tech GMP pharmaceutical manufacturer in Krasnoyarsk.
That was accomplished. Today, Kraspharma is a leading producer of wide swath of generic drugs and pharma products spanning antibiotics, blood substitutes, infusion solutions, tuberculosis and preparations for other pharmacological groups. Sales channels extend throughout Russia, Eastern Europe and the Asia-Pacific region.
Widening the Footprint
The plan is for vertical growth by expanding the existing channels while leveraging RAFA relationships for horizontal growth through entering the lucrative North American markets.
In fairness, Russia alone can be a company maker. A huge net importer of medicine, the Russian government is pushing for national security in the supply chain as outlined in the Pharma 2030 Strategy. With that in mind, Statista forecasts the Russian pharmaceutical industry will grow 147% between 2017 and 2030.
During Q1, the Russian pharma market surged 125% year-over-year to about 320 billion Russian rubles (US$4.2 billion). Generic drugs typically dominate the prescription market, accounting for 64.5% of the category in 2017, meaning Kraspharma is in a strong position.
Given the sheer volume of people, Asia is another tremendous market. The Rx market in China alone is forecast to reach $160 billion by 2022, highlighting the market opportunity. With respect to the Asian drug development market, ResearchAndMarkets estimates 6.54% compound annual growth to reach $62.46 billion by 2026.
Still, the U.S. is the Holy Grail as the biggest pharmaceutical market in the world, weighing in at a whopping $484.4 billion in 2018.
Conclusion
With the reverse merger now closed, the newly created Rafarma Pharmaceuticals that now boasts fast-growing operations well in excess of $100 million for 2019 is decidedly undervalued when compared to industry valuations for similar companies. Management plans for uplisting and higher investor awareness programs are soon in the future which will help bring the Rafarma opportunity to the forefront resulting in substantially higher prices and trading volume.
The current price has not yet appreciated to reflect the newly increased sales and valuations and therefore presents an opportunity to astute investors who act now before the story becomes more commonly known.
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