CU6 - ASX Charts, page-2602

A BO would have been nice for sure - it pays a premium quite quickly and removes risk (for those exiting). But, have you considered the alternative - what might happen instead if there is no BO?

1) Telix did not get bought out: In just 2-3 years, the TLX share price moved from under $6 to an ATH of $30. Yet, a BO 2-3 years ago at 100% premium would have paid out $12 a share, leaving the folks cashing out with the headache of finding somewhere else to gain the other $18 that they actually got to gain by staying with TLX as an unbought entity. Imagine if Pfizer were the buyer, and imagine if the folks had got PFE script: look at the PFE share price!!! Downhill!

2) Consider whether the assets at Cu6 have grown or decreased during the time that the BO has not happened? On the diagnostics alone;

• Asset 1 (the Lead asset): Cu64-Sar-bis-PSMA has reported its early trials (COBRA, PROPELLER) with flying colours, and moved to P3 (registrational) trials and a head to head - all expected to report within 12 months! That asset has also been granted 2 FDA FTDs, with Clarity expeced to seek Priority Review from the FDA!
• Asset 2, Cu64-SarTATE has completed its P2 (DISCO Trial) with flying colours and is now P3 ready! It could get an FDA FTD as well - and more! Could it be licensed out or co-developed with another company with deeper pockets? Someone like Telix? They are interested!
• Asset 3, Cu64-Sar-BOMBESIN has completed its P2 (SABRE Trial) with flying colours and is now P3 ready! Its another FDA FTD eligible asset! Could it it also be licensed out for co-development?
• Asset 4: Cu64-SAR-bisFAP is possibly now clinic ready!
• Asset 5: Cu64-SAR-trastuzumab is in the running too!

We know that funding has curtailed product developments, with the pipeline having to undergo some pruning recently, but in my view, by not being bought when the assets were fewer and earlier in development, Clarity has been allowed to not only retain, but to grow its value (based on its asset base). Clarity is closer to revenue than it was 12 or 24 months ago, and once that happens, the deep pipeline comes back to life, including the frozen assets! That is, unless some licensing deal does that anyhow - where we see the frozen products come to life!

In conclusion, I believe that the lack of a BO early in development, could still turn out to be a much better outcome in the medium to long term.
Clarity may just do a Telix, or even better! Why not?