Yeah, BBJ, that's the big question isn't it. Buggered if I know.
This is where the CGM contract is vital, and at the same time difficult to value I guess if some kind of action comes soon with no production revenue coming in. If we take previous company estimate from memory of $4M as a per annum figure for the CGM at least initially, add that to the Abiomed $4M, we could be above $20M at around 3 times. Only works this way if the CGM is seen as a dead cert for revenue in the reasonably near future, which I admit is much less likely than it was looking.
Haven't really thought this through - I'm not much chop at pricing these kinds of things.
More hopeful that our IP position with both Abiomed and CGM will head off the wait and poach approach.
SE1 Price at posting:
1.6¢ Sentiment: Hold Disclosure: Held
