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If you want a copy of the new report with full disclosure of information that was not originally disclosed you can email Lukas at lukas.stirbys@royaltyrange.com. They did the research and found the report. I believe the cost is $100. I personally do not have the information.
Doesn’t appear to be a delay. Last year this call was on June 30th.
https://marketchameleon.com/Overview/CDMO/Earnings/Earnings-Dates/
Sorry if this has already been posted.
ADC Therapeutics joins conjugate elite with Zynlonta FDA approval ... Among its partners, it names Avid Bioservices as producer of the antibody,
I would think the big players, who will have a say in any buyout, will definitely want a stock for stock buyout if and when it happens —assuming the proposed capital gains taxes become law.
Is Avid benefitting from this?
Concerning Humanigen:
The stock shot up to $29 on a short squeeze fueled rally after the news but pulled back as the company raised the $92.5 million.
Usually investors view financing as bad news, but this is done with a distinct purpose. The company is going to be manufacturing Lenzilumab in “advance” of expected Emergency Use Authorization granted by the FDA.
From Stephanie.
As I said before, there was a cost (I never said it was cost prohibitive) and, “...since we will not be discussing anything beyond what was discussed during our recent earnings call, the company opted out of today's webcast.”
A 5+ bagger is abuse. Hmmm.
Have you ever run a company? If you have you would know that their performance has been stellar over the last couple years. You would know that capital is needed to deliver any long term strategy. You would know there are going to be share price fluctuations and not expect continuous share price appreciation. You would know this is a long term game and not have unrealistic expectations. Bottom line we have seen a 5 bagger + since the takeover. I agree that their explanation was weak. I want them focused on execution much more than I want transparency. I would prefer both but I am willing to give them the benefit of the doubt. Execute and all will be better than fine. I personally am quite happy with where we are! That’s each persons personal choice. Good luck!
Why are you here? Nick has been pretty straightforward. He has a legal team guiding what he can and can’t say and or do. I’m not crazy about their explanation but to date they are performing very well. That’s what matters most! Again why are you here?
Yes I’m making that exact point with stephanie. Audio transcription costs virtually nothing. Just be straight. Video is a little more involved but the only aspect that made any sense was it was simply regurgitating the information provided at the quarterly. Just record it and be transparent for your stockholders. Not a big deal. You have to earn trust! Don’t throw cost in there. Come on!
Fair enough. See Stephanie’s answer below.
Webcasting is not free. Generally (and specifically in this case), the cost falls on the company. And, since we will not be discussing anything beyond what was discussed during our recent earnings call, the company opted out of today's webcast.
Stephanie
They are conservative with information sharing. I continue to trust in this team until they give a definitive reason for me not to. Being conservative with information they are not obligated to share (assumption) is not a concern at this point. Execute! That is the key.
I checked with KeyBanc to see if there was a recording available of Nicks remote fireside chat. Their response, “At the request of the company no replay is available for that presentation.”
Yes. Good point.
The Humanigen deal is likely for commercialization of lenzilumab if it gets approved. The deal is for stockpiling or scalable manufacturing of lenzilumab prior to approval and it is likely to persist after approval assuming the relationship proves worthy and Avid delivers as expected. Not a huge deal currently but it may prove to be substantial in the future. I wouldn’t totally downplay it. The fact that Avid PR’d it indicates that they see significant potential. As we know they are very conservative with their Press releases.
I’m talking to him right now.
KPM Tech Announces Phase 3 of Human Gen's Corona Treatment... Strong on news of US FDA approval application.
HGEN approval application for their Covid treatment bodes well for CDMO!
A possible scenario with HGEN is if their drug Lenzilumab is approved for Covid treatment that would boost the stock significantly and create a potential scenario for a 1 for 1 stock exchange with Avid. Currently the companies are running neck and neck concerning share price.
Yes I noticed their market cap. I do like your scenario better. Time will tell.
HGEN, Avid’s most recent customer, mentioned that it set up a data room. In many cases, a virtual data room is used to facilitate the due diligence process during an M&A transaction. Interesting. Who knows?
HYPE is your opinion. What is behind this move seems to be more than hype. Again my or your opinion is insignificant. Time will tell.
It all depends on what variables you are measuring valuation by.
Business valuation could include an analysis of company’s management. Enterprise value-to-EBITDA. It may require a look at future earnings prospects and current capital structure. It may take into account the fair market value of a company’s assets. That is just to name a few. In the end the valuation is whatever the market gives it. My or your opinion really doesn’t matter. Time will tell. Looking good right now.
Investors such as those that transitioned PPHM to a full fledged CDMO always have an end game in mind when taking on such a venture. It’s about making money for the big players — the decision makers — not about owning or running a manufacturing plant. There is nothing easy about running a manufacturing plant especially with the complexity they are dealing with at Avid. Top business decisions will be based solely on a couple factors. How do we optimize our investment while minimizing our risk? Now I have to admit the end game has likely changed with the market dynamics. But they will sell at the strike price they have in mind. I personally have little doubt about that. The question is what is that price currently? Either way we appear to be in great shape as investors.
Just an assumption. I doubt they want to run a manufacturing plant long term. But who knows, maybe they see further opportunity in doing so now.
Has anyone considered long term capital gains ramifications with an all cash buyout vs a stock for stock transfer — assuming they sell? And of course how will that work under the Biden administration’s tax laws vs current capital gains tax laws? It can be a tricky strategic proposition.
Absolutely. But it is funny he was removed by a robot. Happy he is still on the board.
I personally want to thank him for his contributions over the years. He always provided factual information without judgement. My sense is he is a very good man.
Of course said in jest. Just want to get back on subject.
So are you saying that CDMO would be wise to avoid Covid 19 contracts because it is all BS? Hmmm.
1. Pending sale of the company?
2. Strategic partnership adding further capabilities and capacity?
3. Very strong quarter?
4. More new customer announcements coming?
Personally I would not be surprised with a pending sale sometime early spring to early summer.
I agree. Let’s hope!
From my contact concerning Bavi and the new hire.
“I would not read too much into it. But I have no inside info.
I do know that Laura is excited about the RNA-based biomarker approach and they did have success with something similar when Laura was at Lilly - she got ramucirumab approved. One good thing you can take from the PR is that they have the resources to hire a good person and the fact that she came on means that something good is happening or there is potential. “
Humanigen & Avid Bioservices Enter Into cGMP Manufacturing Agreement for COVID-19 Therapeutic Candidate Lenzilumab in Support...
Just a guess but I think competition is of little concern in an industry where capacity is in dire need. There is more than enough business to go around. Avid now has everything in place to continue to excel in the foreseeable future. They really have done an excellent job putting the necessary puzzle pieces in place. About the only thing we could wish for at this point is more rapid execution of expansion. AIMO
Another article discussing how big pharmaceutical is now looking to US manufacturers and why Avid is positioned competitively. Tim Compton is the subject in this article.
https://www.genengnews.com/topics/drug-discovery/large-molecule-manufacturing-may-be-turning-to-local-markets/
Interesting article on Avid. Does discuss expansion.
https://www.contractpharma.com/csd/profile/avid-bioservices-inc-/view_making-the-switch-to-single-use-technologies/
Yes a wild story indeed. But from an investment standpoint I’m talking about CDMO and not PPHM. CDMO has a story of improvement since inception. Anyone that took a stake in CDMO originally has only seen improvement. And it is now just beginning it’s move to an eventual peak. Obviously PPHM wrote a much different story. AIMO.
The question is in my opinion — has the story changed for this company? The answer is YES but not in a bad way. This company has gotten and likely will continue to get stronger and should eventually sell at a nice premium. Why would I not see this story to its compelling end? Downturns and Bear markets come and go. They are historically short lived. Strong companies with compelling stories always rise to the top — regardless. I will stay to the end. AIMO.