Ann: Pause in Trading, page-78

That’s an interesting idea of yours that’s started me thinking, @Phaedrus.

I think in one recent presentation, the company referred to Ryoncil as a second generation product, the implication being that Prochymal was the first, and Rexlemstrocel as the third.

There is nothing to stop the company then, to pair, say, an announcement confirming the reimbursement price of Ryoncil for kids’ SR aGVHD which everyone is expecting. with one on the “sale” of a limited tenor claim to emerging but surefire revenue from that indication, is there? It’s a well defined market for kids aged 12 and under, isn’t it? So it’s a rather neat way of creating and cashing in on a financial claim over it. Besides, it’s a wonderful way to trip the shorts up, even though the main game would be to best manage existing shareholders’ interest.

So yes, it’s not only an interesting idea, but also one that I had emailed Jane Bell about. I am no genius so I was just adding my negligible voice late last year to board thinking, and I am sure they would have canvassed such possibility anyway, so perhaps just by coincidence that idea makes the most sense to them at this point in time, now that everyone on the board is a shareholder who would naturally want to avoid dilution via a new share issue?

It makes even more sense if the company is confident that there will be more revenue from off label uses further down the track, and the money raised can be used to fund regulatory and other pre-commercialisation activities around potential blockbusters in the 3rd generation product that is Rex. It’s called lifecycle product/revenue management in some quarters.

So, maybe this time things could be different. I for one am quietly confident anyway, that the company may make a serious effort to shed its persona as a perpetual start-up, albeit publicly listed, with an insatiable appetite for dilutive share capital. I just don’t think the board is entirely tone deaf to all the criticisms levelled at it.

Anyway, just more food for thought.