Hi kickst@rter, Fair questions. Royalty agreements usually have...

Hi kickst@rter,

Fair questions.

Royalty agreements usually have audit provisions in them to make sure that everyone is doing what they promised. The penalties for breach can include revocation of rights to sell the product. Given the cost of initial marketing this is not something that is too smart since the patents run to 2030 and you are effectively locked out.

On the second questions, I think that you also get a bit of the thinking of the board when you see that they are trying to make sure this product is available for all not just private health. That usual disclaimer of Commercial in Confidence is the standard with these type of agreements as capacity to pay is weighed against volume and potential uptake. Additionally, if I were still finalising and agreement with say Europe, Japan, Singapore, India, Russia or elsewhere and I know that the party I was negotiating with knew the terms of my previous deals, that make my hand pretty weak.

I think the company is ticking off milestones at a pretty quick clip and I look forward to those trickles of cash from these initial deals becoming the tsunami that starts to make this business look like a listed cashbox.