Innovation Pharmaceuticals Inc (IPIX)

[FlashingLeather]

You've highlighted additional sources of uncertainty imbedded within the overall valuation, and agree that they can be, and are generally, rolled into a single discount factor used by dealmakers. However the assessment of risk can be broken down (and sometime does) into a rather complex mathematical treatment of the various factors comprising the aggregate.

As someone who has provided analytic support to asset valuations on both sides of deals, I have in some cases engaged in these types of analyses. On the other side of the spectrum, I've also practiced the fine art of anal extraction to arrive at a discount for risk. In the end though, the dealmakers tend to have a single "haircut" number in mind and work from there.