Hi Hottod ... I am interested in the contract which you say you have read because basically I don't trust that money will suddenly appear from ACADIA when Neuren says it is due, and so I thought I would ask the question .. ... are we protected for timing and amount for example by bank guarantees? ... It could be that we are squeezed for cash later in 2022 .. maybe no cash comes in because maybe ACADIA is a very slow payer ... how much are we likely to have to spend on the 4x phase 2 trials? .. do we have enough to complete these 4 trials? ... and if we do get cash in in sufficient quantity, maybe from a ROW deal, can we (as in are we entitled) to pull Fragile X away from Acadia who are doing nothing with it, and do something with it elsewhere?
From Bell Potter's research piece recent update Funding risk: We estimate a proforma cash position for NEU of $36.7m followingrecently completed placement and SPP. The company is in a strong cash position, withfurther cash injection from milestone payments from Acadia expected over CY22/CY23.However given the skew of these payments to CY23 and dependent on timing of a dealfor Ex-US markets for trofinetide, if NEU wants to pursue additional indications for NNZ2591 beyond the 4 already disclosed, it may need to raise further capital which is likelyto be dilutive to current shareholders
When I see such statements as by Bell Potter's above I feel like we are being warned...
Regards
NEU Price at posting:
$3.94 Sentiment: Hold Disclosure: Held
(20min delay)