Arch Therapeutics Inc (ARTH)

[Regis999]

$ARTH Presentation LD Micro 6/4/19 by Dr. Terry Norchi plus my comments

1) On verge of commercialization. How many of your biotech investment positions are in the same situation? What is the risk here?

2) Planned revenue stream by End of Year. Building AC5 Inventory now.  

 
3) Execute commercialization rollout and partnering strategy (in process now) 

4) Multiple Selling Partner Strategy. Great news that there will be a different mix of partners between Europe and United States. Means there will be multiple partners and news announcements and possible up-front fees. This also means ARTH will be around for a while and not be acquired. Thus this will maximize ultimate buyout price. Intellectual property is now beyond FIFTY (50) patents. Big Positive. 

5) Also mentioned significant interest out of Asia

6) Hired VP of development Dermal Applications (Wadsworth with deep ties to wound care space)  to handle all the possible joint venture situations. 

7) Mentioned focusing on Military opportunity for use of AC5 

8) CE Mark should be any day now 

9) Broad US (510 (k)) FDA clearance for external applications of AC5. Large external applications.   

10) Submit clinical study IDE pre-submission for biosurgery--$6 $7 billion market opportunity   

11) Cash burn is $ 1.9 million per quarter. Have approximately $ 4.2 million of cash.   

12) 27,796,019 warrants outstanding with total exercise price of $ 18,0541101   8.9 million warrants at $ .25 share (in the money now) 

13) Total Capital raised by ARTH since inception $ 33,778,723. Tiny !!!!!!!!!!!!!!!!!!!!!!!! The warrants are $ 18,054,101 or  53% of the total capital raised.

14) Even at the depressed market price --for every $ 1 raised by $ARTH it is worth approximately $ 1.72. Amazing.

15) Closure Medical Acquired by JNJ 2005 (comparable to ARTH---except ARTH has 10 times intellectual propery) $ 370 million. Market Cap of ARTH fully diluted is only $58 million or only 16 % of the $ 370 million.

To get to $ 370 million ARTH would have to equal $ 1.71 per share.

Presentation is here: http://wsw.com/webcast/ldmicro16/register.aspx?conf=ldmicro16&page=arth&url=http://wsw.com/webcast/ldmicro16/arth/index.aspx