Ann: Update on convertible note arrangements with Rubric Capital, page-6

I guess that's a possibility, in which case Mayne will continue to pay 2.5% interest on the unconverted part of the loan.

I think $5.35 will be well and truly in the rear vision mirror before the end of the year. Rubrics will be well rewarded for their investment. I'm forecasting $35M underliyng EBITDA for 2HFY23 for the business without retail GX (the businesses going forward into FY24). This will put the company on a forward PE of about 6. Typically, pharma companies at the beginning of their growth phase (which is where I believe we are) trade between 20 and 30 times earnings. So the prospects are good.

Of course the alternative view that some folk here hold, is that the past 5 years reflect what will happen into the future and whilst I agree that this new mngt team has not yet delivered, I'm of the view that this a new company, new people (new executives, most of the US workforce have only been with Mayne less than 2 years, so culture change very possible), the products are different (most of the profit will be driven by branded products not generics) and the processes for marketing these products are different. Even Salisbury, will be deriving most of its' revenue from international and CDMO activities.

In summary, I think Rubric will do very well.