What IF QRX could resurrect with this scenario???

Bear with me here. What IF??

QRX has pretty much been dealt a fatal blow by the FDA. They are on skeleton staff and counting their remaining pennies.

How can QRX resurrect and provide some value to existing shareholders and possibly become a viable and growing company?

I am sure Lang Walker who has about 16 million shares is thinking the same.
http://www.smh.com.au/business/lang...-board-spill-at-qrxpharma-20140514-38a5z.html


Integrated Animal Health (IAH) could be the answer.

I reckon IAH could be worth a market Cap of around $50million. IAH have hinted of an IPO on their tweets. But perhaps this is where QRX come in. A back door listing?

From looking at a range of biotechs , IAH stacks up impressively with their technologies, pipeline, rapidly increasing revenues, global reach, global partnerships with giants and massive target markets. And it is for animals not humans. So speed to market is a very big benefit over human bios.

This is a private Australian animal health biotech that is currently commercialising. That’s right, they have done what the vast majority of biotechs in Australia fail to do. Make money out of products.

It is one thing to create IP, do trials and pray the FDA approves your product with the objective of a large pharma opening their wallet for your product. That’s what most of these companies consider commercial success. But we all know that is a long, steep, very expensive and potholed road. It appears they not only develop their product markets but also out and in license to maximise value.

IAH tweeted a month or so ago that they are cash flow positive. They are regularly making announcements of deals around the world and partnerships. A very recent one being “announcements over the next few weeks in North America, Latin America, the Middle East, Africa and Asia, UK and Ireland.” And are opening an office in the Animal Health equivilent of Silicone Valley in Kansas City where the vast majority of animal health companies are represented.

It leads me to wonder how they grow a global company quickly and strike while their iron is hot with products that have no peers and growing masses of data demonstrating field success. QRX can provide an avenue to accelerate and perhaps they can then move to acquisitions as well.

They appear to run on a philosophy of see a problem worth mega bucks, create a solution to it, promote it and ensure the end users get a substantial financial benefit by using the product. Either in increased revenue, reduced cost or both leading to greater profits and quality of their assets.

They have already rolled out a range of products. Horse feeds and supplements. Dairy feed inclusion that reduces antibiotic use by 50% for mastitis, heat stress, fertility improvement and improves milk quality.

They have just announced deals with global giants DSM and Alltech.

They have a range of technologies licensed and are rolling them out. The current ones have Phosphagenics TPM technology for feeds and supplements. Currently used in race horses and dairy farms. Mastitis is a $50billion dollar problem. They have recently started a trial for live weight gain for beef cattle. Feedlots are used for several weeks to fatten cattle but are hot beds for disease. To keep cattle healthier and increase weight gain adds huge value to the industry. The same applies for poultry, sheep, pigs, and fish. We all read regularly about the effort to reduce antibiotics from the feed chain due to super bugs in humans. Here is a solution. Or at least a very strong tool.

They have also completed a trial for the topical non systemic oxycodone patch on horses. 24-48hr complete pain relief for shin soreness. A world first. Which can be used for pets and livestock.

Along with a range of other products they are also looking at novel ways to vaccinate animals.

Check out the pipeline:
http://integrated-animal-health.com/rd-pipeline/


To give you an indication of my estimated market cap of $50 million:

Anatara Lifesciences is seeking to raise $7 million to develop a pineapple root extract to prevent pigs getting diarrhoea by helping the animal stay healthy and gain weight, making the animal more profitable. Their pipeline is chicken feed in comparison.(boom boom)
http://www.news.com.au/finance/busi...iarrhoea-stopper/story-e6frfkur-1227062954184


Kindred Biosystems listed on the Nasdaq late last year. They raised $50mill in the IPO but the market cap spiked at around $250million but has since pulled back. They do not have any products on market. All their products will need to go through FDA trials unlike IAHs.

Check out Kindreds pipeline to compare with IAH, I reckon IAH has every bit their equal or better:
http://www.kindredbio.com/#!pipeline/c1ktj
Sorry the photo loses its text when posted. Please click on the link to see it.


So I wonder what others thoughts are on this possible scenario? Is this a possible way for QRX to benefit by becoming a viable company again and a way for IAH to enable stronger faster growth?


For disclosure: I hold Phosphagenics and I see IAH as being a very strong way to enable Phosphagenics to become a commercial company. Thus I want IAH to grow as fast as possible. Their markets are huge and regulatory hurdles minimal in various products. Thus speed to market is very very fast. Just look at IAHs track record this year.

All the best.

TL



www.integrated-animal-health.com

http://integrated-animal-health.com/rd-pipeline/

Have a read of their twitter feed. Its very active:
https://twitter.com/mastitisaust