Replies to post #340376 on Avid Bioservices Inc (CDMO)

[Protector]

newbieee, for ThermoFisher i could follow that idea.

CDMO Acquisitions or Buy-out

Thing is, our 15+% in Bavi and our 600Milj$ Tax write down reserves should stay somewhere. Acquiring tax advantages is no longer very interesting in many countries. Bavi future income is difficult to size, from 0$ to X$.

Thermo Fischer, or any other CDMO business for that matter, can just leave CDMO as is and wheel production towards it, so writing down can be done.

Any candidate is going to have to value the Bavi part and knowing PII are started with Merck in the mix and given the shown potential that will not be easy.

So a buy-out of the CDMO business or a merger could well be the more interesting paths to follow.

The above is an opinion.

AIMO