I have mixed feelings about today's shareholder meeting.
On the one hand, it seems there is some type of non-binding agreement that was reached.
Near as I can tell, that non-binding agreement calls for a $50M payment upon product launch, and royalties of 50%, although 50% of what was not clear.
In addition, the physician who spoke after Pourhassan was clear and eloquent.
On the other hand, Pourhassan's presentation was substandard, and not what one would hope for in a CEO.
Not only was Pourhassan's voice muffled (unlike the physician who spoke after him, who came across very clearly), but he spoke much too quickly.
In addition, the history lesson was wasted time, in my opinion, as most were waiting to hear about the non-binding agreement and possible merger that was telegraphed in the last paid interview.
As for the agreement, Pourhassan could have been more clear as to the partner and the terms.
Even if Pourhassan could not disclose the name of the partner, he could have indicated if the partner was BP, a biotech, or some hints about the type and size of the company in question.
In addition, would it really be so hard to describe the terms more clearly?
Does Cytodyn get $50M when Leronlimab is approved, when it gets an order, or when sales reach a certain level?
And what, exactly, is the agreement regarding royalties?
Does Cytodyn get 50% of the gross sales, 50% of the gross profits, 50% of the net profits, or none of the above.
Pourhassan also mentioned six weeks.
But six weeks to what?
A signed agreement, a first payment, or something different altogether?
I understand Pourhassan is not a gifted speaker.
However, he could have practiced his presentation, or even used a teleprompter, so what he said came out clear and coherent, rather than muffled and confusing.
So I continue to be impressed with the science, and frustrated by the CEO.
Apparently many shareholders are frustrated as well as the lukewarm reception given to the salary vote was hardly a vote of confidence. I suspect without the shares of the other directors, that vote would have lost.
So, as always seems to be the case, we are left in a state of uncertainty as our CEO cannot present the facts in a clear and coherent fashion.
Frustrating, to be sure.
My great hope is that Cytodyn partners with a company who promptly replaces Pourhassan with someone who has the knowledge, background, and experience to take this very promising company to the promised land.
LM
