Hi Sads, been away on hols,no have not sold. There are a few...

Hi Sads, been away on hols,no have not sold. There are a few thngs I would like to share with you.

1. The Capital Raising.
2. Tibotec
3. ATC

Capital Raising.
I have expressed my deep disappointment to the company that they did not do what they said they would. This decision has diminished shareholders trust. However it is important for shareholders to understand that this was a board decision not the Managing Directors. At the end of the day JC has to follow the board directive. This is a matter for the AGM when Directors are up for election.
The company now has $35m which is sufficient for opertaing costs for 2 1/2 years. Personally I am not too concerned as I believe shareholder value will be realised in the next few weeks.

Tibotec.
The Tibotec deal is on track, the option was extended because the expiry date was right when J & J were laying off 6000 people. It will not be extended any further.
Expect a $5 - $10m upfront payment with further similar milestone payments as the drug progresses through clinical trials.

ATC.
144 week 11b data will be released about the same time as the 24 week unblinded data in Feb. Tibotec is a strong and genuine prospect to do the double Integrase/ ATC partner.
Expect a partner to pay $15 - $20m up front, fund any future testing required by FDA with royalties on a rising scale between 12% and 20%.

If all goes to plan there will be a lot more than $35m in the bank so why did the board take the money? The answer is that the Biotec industry in the US is having major problems raising capital and there will be some very nice opportunities to acquire companies and or drugs in development.

The bottom line is that we are currently seeing short term trading which is normal after a capital raising. There are several key value inflection points in the next few weeks, if all goes to plan AVX will be re rated and all us long termers will be rewarded for our patience.

Hope that helps.