Replies to post #181 on Safeplus International Holdings Ltd. (ACAI)

[RedShoulder]

Zen lunatic re aMRIs as a defensive acquisition...
You posted:
"....it's just too coincidental that AMRIS and BIPH have both been working with BSX on similar solutions.... Then BIPH uses this language of exclusive and non-exclusive terms. This makes me ponder and speculate that BSX might get exclusivity to the AMRISs stent solution, while BIPHs coatings get non-exclusive terms so the coating. This will allow the coatings to become an industry standard to be applied to a variety of devices to increase the compatibility of other interventional tools, procedures, and devices to move towards MRI-compatibility. This general market awareness and broad market acceptance of interventional MRI would ultimately benefit BSX...especially if the have some ownership in BIPH....and especially if hey retained exclusivity for the "gold standard".

Zen lunatic, I am not saying, nor believing that the BIPH acquisition of aMRIs is entirely defensive, but as you acknowledge "AMRIS and BIPH have both been working with BSX on similar solutions", that in itself would make the acquisition partially defensive. I suspect that BSX may have used aMRIs solutions as a lever when negotiating with BIPH, and I am speculating that BSX was probably playing the same song to aMRIs for a better deal. Credit MW for pulling the rug out from under BSX's ploy by negotiating a deal with aMRIs, probably in secret, that benefited both BIPH and aMRIs, ... but not BSX's negotiations for a BSX favorable contract. I suspect that we will not see a BSX deal until the acquisition is final, or in final stages at the end of this month. Next month should be the begining of a green light for a BSX/BIPH agreement on the term sheet.

I like the thinking in this part of your post:
"This makes me ponder and speculate that BSX might get exclusivity to the AMRISs stent solution, while BIPHs coatings get non-exclusive terms so the coating."

That would be a little like chumming for the big sharks... throw out a tempting exclusivity treat, followed by the big meat and non-exclusive hook. BSX will fight hard for continuing to be the leader in the multi billion dollar stent market, and they know that BIPH can help them achieve that goal.
Shark meat is tasty.
GL Zen lunatic, nice thinking type post (are you zenvesting on RB?).
... %^ greeneyedhawk

[stephQB]

Zen, good thinking. However, you wrote "This makes me ponder and speculate that BSX might get exclusivity to the AMRISs stent solution, while BIPHs coatings get non-exclusive terms so the coating. This will allow the coatings to become an industry standard to be applied to a variety of devices to increase the compatibility of other interventional tools, procedures, and devices to move towards MRI-compatibility. This general market awareness and broad market acceptance of interventional MRI would ultimately benefit BSX...especially if the have some ownership in BIPH....and especially if hey retained exclusivity for the 'gold standard'."

First, doesn't the last phrase contradict your first sentence? Second, one could argue oppositely that BSX will ask BIPH to simply kill the AMRIS stent solution to prevent competitors from "entering the market that much faster".
Third, it is possible that a combination of exclusive and non-exclusive terms could include exclusivity for a specified time period to give BSX a head start using the BIPH "gold standard".