Value Microcaps Zip Code Changers

[Bobwins]

I misquoted numbers from valuation by Zacks.

Here is the valuation analysis that Zacks did:

We value Antibe using a probability adjusted discounted cash flow model that takes into account potential future
revenues for ATB-346 and Citagenix. For ATB-346, we anticipate that the company will enter into a collaboration
with a larger pharmaceutical company before Phase 3 studies commence. For modeling purposes, we are
estimating that Phase 3 studies for ATB-346 will begin in 2019, with an NDA filing in 2020 and approval in 2021. We
model for approval in the E.U. a year later.
ATB-346 is the main value driver for Antibe as the NSAID market is valued at $8 billion total. We model for approval
in OA, however we believe that if the drug is approved it will likely go on to be approved for multiple indications
similar to celecoxib. There are approximately 27 million individuals in the U.S. with OA (NIAMS). Of those, we
estimate approximately 50% are taking or are open to taking oral NSAIDs. With a conservatively estimated 6% of
the market, ATB-346 would have peak sales of $1.0 billion. In the E.U., where there are approximately 40 million
patients with OA (WHO), a similar market share could generate close to $1 billion in revenue. Using a 12% royalty
rate, an 18% discount rate, and a 50% chance of approval, we estimate the net present value of ATB-346 to be
$171 million. When taking into account estimated capital requirements (~$5 million), the current conversion to
Canadian Dollars (USD$1 = CAD$1.24), and dividing by the fully diluted share count of 259.5 million shares leads
to a valuation of approximately CAD$0.85. Antibe is certainly an interesting story and we encourage investors to get
familiar with the company ahead of Phase 2 data readouts in 2018.