Avid Bioservices Inc (CDMO)

[tech0200]

Maybe we will be bought like Catalent was. They had some screw ups with their quality control. EPS last quarter were -7.18 which comes to 1.4 billion loss. They had lost over 700M two or three quarters earlier. Haven't looked at their other quarters but it would be hard to imagine that they were profitable. How did Catalent end up being bought for 16.5 billions? It appears that a CDMO is worth a lot more to an acquiring big pharma than to any and all investors or another bigger CDMO.

We ended up with a new loan that has a higher interest rate and will cost us tens of millions more over the life of the loan. The 50 or so more millions in interest should lower the buying price by the same amount and not by 500M or a Billion.