AVANIR PHARMACEUTICALS (AVNR)

[Gd2Aussie3]

Interesting post from Yahoo AVN board.

goooooooavn - The Negotiations
by: avnin2005
Long-Term Sentiment: Strong Buy 02/11/05 09:09 am
Msg: 325585 of 325604

So you think someone from "XYZ Company" gives Yak an offer and its "take it or leave it?" You don't think Yak wants to get all he can for his lifelong dream Neurodex? These are complex negotiations. They aren't done over a cup of coffee or on the golf course. You got the scientists, the lawyers, and the accountants in on it. I'm sure it's not Yak alone. I'm not an insider but imagine Yak does the prelimianry talks and then they have the formal negotiations in the boardrooms ironing out every little nitty gritty. We are talking big bucks for both sides, especially AVN.

That's a good question you raise on whether they are using a consulting firm to help in the negotiations. Oh, if I were Yak I'd want to be at all the discussions - this is his life. Forget his responsibility as CEO to us -it's his money on the line. I got to believe he has lawyers and accountants in on the negotiations - just as they were writing up that proxy this year & last!

Lots of companies use outsiders for various jobs. Not at all uncommon for a Fortune 500 company to hire a Merrill Lynch or a Morgan Stanley to work on a merger for them. Doesn't mean it's an exclusive - the company insiders are still heavily involved - but the big broker plays a vital and significant role.

Is he using a professional consulting firm or someone real knowledgeable in the business to help negotiate? That would be a good idea! What about Orbimed? Maybe they are heavily involved! After all, they got 7.8 million shares!

You guys are all assuming because they aren't speaking up, that nothing is happening. I got to believe Orbimed would be screaming if that weren't true. Yak has a huge interest in this - he wants Neurodex to hit it big. I have to believe there are real serious negotiations going on and, if they are, he is not going to make any public comments until it's a done deal.

Games at big companies? I won't say whom I use to work for or what I did (I assure you it was not the bio world though) but I saw the biggest of games played at the highest of levels at a Fortune 50 company. When managers and directors are evaluated each year on a set of critical objectives, they got every incentive in the world to be as aggressive as possible and that means playing every trick in the book. I was even in a high level internal meeting once and things got a bit carried away on the aggressiveness planning side and the big boss finally stopped himself and told everyone, "We are real close to crossing the line between aggressive and illegal. We can't do this" [that guy didn't cross the line but others do ala Enron and Worldcom]. Games at big companies? Oh yeah! - Every single day!

Yes, I agree with you there are reasons for having some pro negotiators help out on this. I sure am hoping it is either Orbimed or some outside party they hired.

These would be excellent questions for Patrice.

It's ironic many shareholders here are now starting a new major round of skepticism
& paranioa in the final stretch of the Neurodex process. Seems like you guys will be feeding exactly into the institutions hands. They racked up 20-25%% of the company on such fears the past year and I'm pretty confident they are salivating at the opportunity to rack up another 25% now. You guys may just feed right into their hands.

I'm holding tight and would add more on dips if I had more funds available.

Have a g'day.

Aussie