Avid Bioservices Inc (CDMO)

[Protector]

wook, the standard MAY NOT apply to Avid.

1) There is shortage in the market for biosimilars, that increases Avid's potential value because it is building up extra capacity.

2) Avid is not a normal milli-gram per batch facility but a GRAMS per BATCH facility. That makes a BIG difference.

3) Avid is a BRAND NEW business and holds IP and knowledge to building the manufactures it uses ITSELF. Big difference with buying a business that exploits a factory build by some other party (which is 99% the case). E.g. Budweiser doesn't build its own breweries.

4) Avid's backlog is bigger then its turn over, that must be included in the multiplication because it is SIGNED business with a fine if the orders would be cancelled.

5) Avid is paid for by cash raised by PPHM (ATM/PPHMP/Revenue Avid I, etc). There is a difference with businesses that have millions of dollars still to pay for the infrastructure they sell.

Finally, everybody will want to point you to table that say x2 or x3 but nobody can produce them because businesses are currently not sold any longer for x2 or x3. This has to do with the high yielding of lucrative business compared to other investment form. A company is better of paying for a company that yiels 50% gross profit then placing its money in financial instruments with 1-3% sure or more with risk.

So lucrative companies are IN and the Avid part of PPHM is for sure VERY LUCRATIVE.

So the stock price between 1.25 and 1.75% based on Avid value and the writing down of Avid profits on the tax benefits alone is certainly not fat from the trued.