Yes the funding is essential. But I don't like the description...

Yes the funding is essential. But I don't like the description that it is non-dilutive just because it's not conventional equity. I would prefer conventional equity. Then everyone in together on the same terms. These funders are reducing the equity upside of ordinary shareholders. They are getting in first, with fixed milestone payments and variable payments as a share of sales, not profits. This increases the risk for ordinary shareholders, a form of financial leverage. And of course it complicates the analysis. Give me good old transparent dilutive ordinary equity any day!