Anavex Life Sciences Corp (AVXL)

[TempePhil]

Hey jonjones. Good questions. First, there are many forms of partnerships, based on legal documents to informal agreements based on a handshake. Typically, your proposal that a varying payment, is based on a particular IF/outcome, has a payment arranged to occur AFTER the IF (you propose) NOT BEFORE.

Also, payments are frequently used when the two partners do not contribute equally...the lesser contributor then kicks in cash to make the deal equal/same for both sides.

I am not sure what partnership is NEEDED. If we get AZ or PD approval, CM wants a sales partner and maybe production partner. I fully agree with him, as if approval happens, we will have the most sought after company on earth. The sales partner should get a commission or percentage of sales probably for an exclusive region. Simple and efficient. As far as production, the molecule is small and readily made by many factories. Many will want that business from us...simple and efficient.

Also, do we need cash? We have the shelf for business growth. Again, WITH an approval, if we still need cash, we will have no problem getting a loan from a bank at their LOWEST possible rate. Again "the most sought after company on earth" situation!

If a company REALLY wants to partner with us and have lots of influence, then for the measly sum of 1B$ dollars they could own most of the company. Or for a lot less they could be an influential shareholder...100M$ or less which is peanuts for a large company.

Given the the two figures mentioned above, I dont see a scenario where a company would need to give us cash. Given the shelf and/or approval, I dont see a scenario where Anavex NEEDS a parners cash.

Jonjones, thanks for making me go through the numbers, logic and (some) details of this question - partners with up front cash. Please let me know if I overlooked something. Or if you see a scenario I missed. I think this analysis explains CMs position on partners. Good discussion to have...after all we are the owners!