Replies to post #259214 on Avid Bioservices Inc (CDMO)

[Carboat]

They cannot continue down this same path of independence and under-performance. And if they do there needs to be a complete restructuring of this company to meet their responsibilities. We need to hold them to their fiduciary responsibilities. Its our inherent right.

Totally agree but they have a corporate structure that protects them and rewards regardless of their performance. Perhaps a big shareholder like Dart could make some waves but the bod is going nowhere (paid more than most fortune 500 bods, why would they). SK and sr. mgmt. are also paid like multi-billion execs. Bod protect mgmt. and mgmt protects them. It really should be illegal for a public company to have this structure.

[Protector]

bfiest, we need to do nothing and just be shareholders. We engaged in a risk where we take profits and losses. If we do not believe in PPHM then we get out if we believe in PPHM we stay in.

We do not have to run the company, neither putting all kinds of pressure and extra work on them as with the PPHM shareholder propositions in the past.

I-O is THE new market, PPHM has a SAFE and WORKING I-O molecule that is far more advanced then all others (look at my posts I have explained that several times here and here and here). This was NOT 100% sure in 2013 as in ASCO 2013 I-O just surfaced as the new hype. It looked like chemo was still going to hold for a while so combining Bavi with chemo, since it gave good results, was a good move. However with BMY/Merck/Roch/AstraZeneca, etc putting the steam on I-O and the FDA being favourable to it, I-O is the better COMBO. A company MUST be able to adjust to changing situations in the market. This is one!

Some confuse stopping SUNRISE because of an outperforming control arm and the fact if Bavituximab works. If it worked like that then we need to remove Avastin, Decetaxel, Sorafenib and plenty of other drus that are still TODAY the SOC from the market because they failed or STOPPED many clinical trials for these products because they did not work for a certain condition or in a certain set-up.

Bavi has proven that it increase survival as no other, which is what patients want, unfortunately the FDA does not find it sufficient that you outperform the statistics established over several decades but you need to out perform your own control arm. Of course that opens the door for a lot of hanky-panky as we have seen with a case of Bavitiximab sabotage, two times a control arm out performing (as SAID DOCETAXEL in SUNRISE WORKS BETTER THEN OPDIVO alone but in Opdivo Alone the Control arm doesn't even reach the best performnce of Docetaxel ever and bot trial ran in the SAME YEARs !!!!) or with statistically questionable STAGE and ECOG distribution in randomizing as in pancreatic.

So best is that we do not participate in confusing the cat and keep correcting all the FUD.

Having no creditors and Avid revenue PPHM is better of then any other small cap to adjust to this situation of CHEMO vs I-O migration of the market.

There are excellent business strategies for PPHM that keep IP and pipelines UNENCUMBERED as I explained here.

The BoD/Management did an excellent job in running SUNRISE and many other things as explained and listed here. Trying to blame them for an outperforming control arm against which they have taken PRO-ACTIVE measures in 2013 during the trial design and LONG BEFORE plenty of companies seem to start seeing failing control arms probably due patients extra treatment AFTER the trial when their tumour progresses again. Now it is easy to say one needs to add a marging because we saw several companies fail but PPHM added a margin on top of the 10 months maximum MOS median that Docetaxel HAS EVER achieved in its two decade existence already in 2013. Blaming the BoD/Management for Docetaxel suddenly performing dramatically better that 10 months+that margin is not fair.

Blaming them before next quarterly for not having given results about why the CTRL arm outperformed is not realistic. Vials must be recalled, blood work checked, etc.

[DrRocker]

As disappointing as the discontinued Ph3 trial announcement was, management's response on the earnings call was more so. I was hoping to hear a plan to restructure the company to preserve cash while vigorously pursuing partnerships with up front payments. Lytle's response to Joe Pantginis' question about a possible restructure/downsizing was that the company had no intention to downsize and was actually planning to grow/expand the business. Absent a money partnership soon, a reverse split seems inevitable with continued ATM funding that will dilute long term shareholders into oblivion (expanded Avid sales can help but will not be the funding answer)
I was never a fan of the go it alone strategy but believed the science would win out in the end and overcome even the biggest obstacles including the Ph2 sabotage. I wish we could get details on past partnering offers in order to understand if management has been holding out for pie in the sky deals or if BP has never come to the table with a reasonable offer (outside of the Abbvie deal scuppered by the Ph2 sabotage). I do ascribe to the view that big pharma does not take kindly to start ups trying to crash their club membership without paying their dues.
In the past, I have been tempted to sell some of my holdings to bank the capital losses but was always concerned that the big needle moving news could come at any time and I could not live with myself if I missed the big move after all the time and money invested here. I recently sold half my shares (100k) and will wait the 31 days to get past the wash rule after which time I will likely repurchase the shares and then do the same with my other 100k lot.
I still believe we have an arrow left in our quiver (possibly two if you count betabodies) and while some on the board continue to make the optimistic business case with surprising fervor, I have significantly tempered my expectations but will stick around to see how this story ends having already paid a hefty price for my ticket and already losing the majority of my investment.
Not trying to influence anyone to do anything here and wish good luck to all in their decisions.