'Yes I know this but in the past all queries about the exact royalty rate have been met with confidentiality limitation so for me it is interesting to see that OBJ are now happy to provide links on their own website to claims from a broker report that the rate is in fact in the 3-5% range.'
Hey Mak - agree this is the first time the BOD have left a document on OBJ's website that discusses potential royalty rates, but these 'estimates' have been around since B&Y's first broker report back in 2014 also:
Perhaps according to the PDA/MLA, P&G must first recoup some of their R&D/Marketing costs before/during initial royalties dispersion. It is still a guessing game as to why royalties/revenue has been very light-on up until now. Let's hope the BOD have been fully transparent regarding foregoing up-fronts for higher royalty rates and once a full global launch kicks in for multiple products it won't take forever for the revenue to surface.
OBJ Price at posting:
3.3¢ Sentiment: Hold Disclosure: Held
(20min delay)