NEU Val $6-$8

Hi all,   Firstly thanks to those holders who gave me  this opportunity to buy at $1.50.

There have been several posters asking for a valuation. There are currently two market valuations..
Firstly the local ASX mug punters valuation of $1.58..

And the secondly. A valuation of $6.00 by Baker Bros a specialist US Biotech Invetsment company..
https://www.fiercebiotech.com/special-report/baker-brothers-advisors

https://www.********/investing/2017/09/21/billionaires-are-gobbling-up-this-beaten-down-biot.aspx

Baker Bros have 2 seats on ACAD board and hold 22% or US $350M worth of ACAD.

The deal NEU signed , commits ACAD  to an upfront spend of
Excluseivity US $4m
Upfront US$10m
RETTs US$55m
FX $75m
Misc Development ~US$20m

TOATL US$164m. Or AU$220m....

BAKER BROS share of that is US$36m. Or AU$45M

So NEU have sold off about 25% of its earning capacity for AU$220m.... that’s North America being roughly 50% of Global Sales... and Very Roughly 50% of TROF profits. When taking into account the AU$670 milestones and 15% Royalties that’s close enough to 50% each in profits of Nth America sales profits.

So AU$220 committed upfront for 25%  of profits values NEU at AU$880m by BakerBros.... and a highly experienced team at ACAD... After committing AU$220M that leaves AU$660M for shareholders of NEU or AU$6.60 per share..

Remember that doesn’t include NNZ-2591.... and it can be assumed ROW will earn more money becaus there are zero Developments cost..

Perhaps we could add some value for having Richard Treagus and his team to steer and guide our investment.

And further as NEU and ACAD are basically repeating Ph2B trials we would expect a much higher chance of success than the 65% that has been mentioned here. Professional Investors and potential Takeover Companies will be watching this. Without doubt NEU  and ACAD will  be bait for the Big Pharma if this first trial is a success.

The combined current MC of these to companies is less than US$2bn...

Good luck to all holders..