Ann: Neuren and Lanstead agree to pause settlements for 120 days, page-20

Sorry, I don't really agree with that, but we're all entitled to an opinion.

By way of context:

Affimed released a massively back ended deal, similar risk profile to Neuren's - worded differently and look at reaction.

It closed up 250% at nearly A$500m market cap, or .

So look at how well it was worded:

"The financial terms of the Agreement include upfront payments and committed funding over the first 12 months of the collaboration of $96 million and up to approximately $5.0 billion in total milestone payments upon successful development and commercialization of all product candidates developed pursuant to the Agreement. "

They have combined the upfront with development costs!

NEU should have announced:

The financial terms of the Agreement include:

1. upfront and committed funding of the collaboration of US$69 mill/A$94 mill (including the equity component at $4.00 per share);
2. approximately US$75 mill/A$102 mill for fragile X development;
3. US$105 mill/A$143 mill on achievement of development milestones;
4. Up to US$350 mill/A$476 mill on sales milestones;
5. One third of the value of any Rare Pediatric Disease Priority Review Voucher (in 2017, five vouchers were sold for between US$110 mill to US$150 mill/A$150 mill-A$205 mill); 
6. Escalating tiered, double digit percentage royalties on net sales of trofinetide in north America; and
7. Neuren retain all rights outside North America.

Instead they wrote:

"Neuren to receive US $10 million upfront plus potential milestones of up to US$455 million in royalties."

Later they released an announcement that introduced Acadia's investment for Rett of approximately $55 mill for the first time, yet this was not marked market sensitive and got lost in the ensuing chaos?!  

Poor investor relations/comms is the long and the short of this mess; but at least it appears management are starting to discharge their duties with care/diligence/etc and correct it to an extent.

Cheers,