Avid Bioservices Inc (CDMO)

[The Other Guy]

Paul, good points! Someone posted the start of a great message yesterday (I tried scanning over the titles to find it but could not) about the value of PPHM. Your post illustrates a similar rationale and reminded me of it. I've touted it before, but it's worthy of bringing up again.

The market cap of PPHM is currently below $300M but I will use it to accentuate the possibility of Bavi (and in turn PPHM) being highly undervalued.

Current market cap: $300 Million
Cash on hand: $80 Million
Value of Avid: $30-60 Million
Value of Cotara: $57 Million
Value of Imaging: $10 Million

Based on the above information this would calculate to:

Value of Bavi $93-123 Million

Most numbers above are estimates. We know the cash on hand is $80M based on the presentation yesterday. Avid's value is derived from a factor of annual revenues and is admittedly conservative. Cotara's value comes from Frustrated's estimate. Imaging is purely an as is estimate. I know I am missing some other factors in the valuation but the point I am trying to make is Bavi's valuation is roughly $100 Million!

$100 Million for a phase III drug given Fast Track Designation in a Multi-BILLION dollar market.

If I were to go into an investor conference I would end the presentation with a slide with information similar to above. That would surely grab some attention, wouldn't it?