For those that are justifying a share price based on book value, I strongly recommend you to go through the financial statements to investigate the composition of that book value.
For Mayne Pharma with total assets of $1.86b a staggering $1.05b represents intangible assets, of that $897m relates to customer contracts ??, customer relationships ?? and product rights and IP.
Again strongly recommend reading Note 9 to the financial statements where they disclose the basis of that valuation and the required assumptions that need to be achieved to avoid an impairment against this asset.
My personal view is that their will be a big impairment writedown in the future, and then book value will decline significantly.
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