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Zues

03/12/17 12:26 AM

#27633 RE: 4toSchool #27627

What exactly are you after?

There is no controversy here. The role of USRM is to innovate. USRM = technology.

The role of GACP is to provide capitol. GACP = capital and infrastructure for product usage once approved by FDA.

Get it?
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NoMoDo

03/12/17 12:42 AM

#27639 RE: 4toSchool #27627

3to... the deal listed In the 8k is pretty simple. USRM partnered with another company (Gacp).

USRM gets 500k in upfront cash plus 2.5mil worth of investment in 10 new businesses over 3 years.

In return, Gacp gets control of the stem cell banking business for 3 years and gets ownership in $400k worth of fully depreciated assets.

In reviewing the last q, USRM's biggest costs are in marketing, gen and admin expenses. What USRM just did was receive $3 mil in cash and services and shift a major expense to Gacp in return for a part of the business. As USRM's core business is the medical aspect of stem cells not the storage of stem cells, I look at this move as extremely positive. Especially since Gacp took over the marketing and a major portion of g&a expense.

Looks to me like both companies are focusing on what each does best and each will benefit greatly if they succeed.

I would imagine that the next quarter (April-June) financials will be substantially improved based on this move.