Precious Metals

[gfp927z]

Looks like MNLO could be a good fit for the dermatology focus, and as an all stock transaction it won't affect FOAM's cash situation. Per Yahoo, FOMX has $69 mil in cash and under $2 mil in debt, and MNLO has $91 mil in cash and under $1 mil in debt. So that part sounds good, with combined cash for the post-merger company of $160 mil, and under $3 mil in debt.

The terms of the deal are also dependent upon the outcome of the MNLO Phase 3s, so that sounds good also. Those Phase 3s are due to report out data in March/April, and there will be some Phase 2 data in Jan/Feb (2nd link below). This looks interesting -


http://www.menlotherapeutics.com/

http://www.menlotherapeutics.com/newsroom/menlo-therapeutics-reports-third-quarter-2019-financial-results-and-provides-program-updates/


>>> Menlo, Foamix stocks set for selloffs after all-stock merger deal


MarketWatch

By Tomi Kilgore

Nov 11, 2019


https://www.marketwatch.com/story/menlo-foamix-stocks-set-for-selloffs-after-all-stock-merger-deal-2019-11-11?siteid=yhoof2&yptr=yahoo


Shares of Menlo Therapeutics Ltd. MNLO, -0.76% was indicated down 14% in premarket trading Monday, and Foamix Pharmaceuticals Ltd. FOMX, -16.82% plunged 16%, after the company's announced a merger in which Foamix acquired Menlo in an all-stock deal. Under terms of the deal, each Foamix share will be exchanged for 0.5924 shares of Menlo common stock and a contingent stock right (CSR), which the companies said implies an 18% premium to Menlo's shareholders, based on the 10-day average volume-weighted price. Foamix shareholders will own 59% of the combined company.

Menlo's lead product candidate, serlopitant, is being developed as a novel treatment for pruritus (itch), and Foamix's acne treatment Amzeeq has been approved by the Food and Drug Administration. If one of two of the phase 3 trials for serlopitant fails to meet its primary endpoint by May 31, 2020, Foamix shareholders will receive an additional 0.6815 of Menlo shares for each Foamix stock they own. If both phase 3 trials miss the primary endpoints, Foamix shareholders will receive an additional 1.2082 Menlo shares. Shares of Foamix have run up 56% over the past three months and Menlo soared 67%, while the S&P 500 SPX, +0.26% has gained 6.0%. <<<

>>> Menlo Therapeutics Inc. (MNLO), a late-stage biopharmaceutical company, focuses on the development and commercialization of serlopitant for the treatment of pruritus associated with dermatologic conditions in the United States. The company has completed Phase II clinical trials in pruritus associated with prurigo nodularis; psoriasis; chronic pruritus; atopic dermatitis; and refractory chronic cough. The company was formerly known as Tigercat Pharma, Inc. and changed its name to Menlo Therapeutics Inc. in May 2016. Menlo Therapeutics Inc. was founded in 2011 and is headquartered in Redwood City, California. <<<