As I have said previously on a CDY thread Pharma I am a bit of a glass-half-full sort of person. For that reason, if I was tossing the coin, I would think it would have a better chance of coming down on the side of increased revenue outside of the China arrangement. That is, the projected “$33.3m” option I have referred to.
The main reason for the optimism is because the China agreement, as described in the announcements at least, seems to be very well defined in terms of minimum contracted volumes. There is though the possibility that although volumes are presumably unchanged there has been a reduction in the anticipated sale price or margin. One would however have thought that this would be well worked out before finalising the agreement.
poorinvestor
CDY Price at posting:
6.8¢ Sentiment: Buy Disclosure: Held
(20min delay)