What happened to FDA approval?, page-14

Ha! As you know Cafa, I've also been around long enough to have a pretty grounded view of the quality of Australian biotech management (as opposed to science).

I just think that shareholders of small innovative technology companies are better off with serious partners and giving up a large piece of the pie up front.

What happens if they don't is that Australian shareholders lose more along the way than they would in a partnership deal - through delays and incompetence.

And in biotech/medtech, the clock is always ticking.

Sirtex were fools to turn away multiple partners to try and go on their own. They didn't have the skills.

Biota took a multimillion BARDA grant and dropped it and it smashed to pieces. Again management that was way subpar.

Australian biotechs/medtechs are always swinging for the Hail Mary pass or the home run. And they keep fumbling the ball or striking out. They say they want to value add by taking the product further along the path, as their MBAs teach them, until they go to where they don;t have the skills anymore.For many it's also because they are one trick ponies. They want to make it all on this one company and retire, rather than develop one, sell it and move on to another.

Don't get me wrong. I think this about 90% of all Australian biotechs. In the case of Oncosil, the CEO will struggle to convince anyone with enough capital that he can deliver an FDA submission in any reasonable timeframe and with any success. Based on the CE process, even though the CE process is way more opaque than the FDA process. For example, I cannot find a single other reference to the COC anywhere on the entire internet.

These guys have a good smart innovative product, a decent market. But not enough research or marketing nous. Not enough deep contacts. Chairmen of biotech companies become blind. Or something.

If these guys do a deal with a US co with a 15-20% royalty they will actually see some money in 2 years. If they'd done a deal 2 years ago, they'd be making money now. Being bought out would be even better. Even Viralytics waited a year too long to do a deal. Mind you, they did a good deal with no approvals.

So, let them get their CE Mark and then they should sell it on. Getting the CE Mark and getting a partnering deal will see the shareprice here increase fivefold at least. If they get the CE mark and then decide to raise capital for FDA I'll puke. Again.