the merger is actually a cap raising + US listing. U$54M for 26% of Biota. You can do the math to get the issue price. Then, the issue price should be the one that the management think Biota is worth.
But, PC told shareholders that Biota was not correctly valued by the market when the share price was $1. Now I think that at that time meant that Biota was Overvalued by the market at $1. That was also before the BARDA funding happened.
Biota shareholders have to cope with the big dilution resulting from the merger deal. Just hope the US investors can give Biota's longer shareholders a good exit, e.g. $1.5 or $5 per share?. Am I dreaming?
My opinions only.
BTA Price at posting:
74.5¢ Sentiment: Buy Disclosure: Held
