The biotechs are in disarray as politically driven uncertainty has more or less halted chances of raising new money in NYC . Well aired arguments regarding tariffs, US manufacturing bases and most favoured nation status have deflated most valuations …. Mesoblast has, by good fortune more than design, just completed its refinancing, appears unscathed by MFN and should now start to deliver rapidly rising Ryoncil sales.
At the risk of making you all laugh, the shorters are having to spend a great deal of money keeping the price moving in a downward trajectory. The problem for them is they are starting to bump their heads against large non Aussie buyers and borrowing rates will inevitably rise if they try to increase their short position much further. I calculate they are now at around 12% of the free float . Barring a complete market meltdown (which is a possibility), I believe the shorters have badly miscalculated on this occasion. Thanks to favourable reference pricing and a first in class approval, Mesoblast is in a much better shape than most here realise. The shorters have just got too arrogant and greedy to realise it yet .
I wish the Mesoblast team all the very best for the forthcoming Type B meeting to discuss end stage heart . Getting our ducks in a row with the FDA will be a major catalyst for our 3rd generation product, Rexlemestrocel . I will not be speculating on the outcome of this meeting because within weeks we will know the answers … That being said I am confident of the outcome because we should have greater certainty on how to monetise our IP by way of an accelerated approval pathway . Watch this space ! OP
MSB Price at posting:
$1.69 Sentiment: Buy Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)