gia's connection to nobel prize ann.
My views on Giaconda are for MEDIUM – LONG TERM investors. I never have any idea on short term SP movements. Yesterday’s action was on the connection between Tom Borody’s patenting the first triple therapy for Helicobacter Pylori & the Nobel prize announcement. That work is what set Tom Borody on his discovery pathway for the 5 products that are in Giaconda now.
Below is my original post. No GIA board here at the time. Thanks to admin for arranging this board.
I have the original presentation & associated files if anyone wants them, e-mail me at [email protected]
I think this is the best Pharma/Biotech IPO I’ve seen for many years. Like many small companies, they have difficulty with spread (minimum number of shareholders), so there is a good opportunity to get some & not be cutback. The prospectus can be seen on the website www.giaconda.net.au I have some other useful files for those interested, you can e-mail me at [email protected] or through PM here. I should advise that I have applied for quite a bit of Giaconda. Following is a brief summary.
GIACONDA Positives: • Time from IPO to market is short (relative to newly-developed drugs) for both Myoconda and Heliconda, as both are at Phase III already. Myoconda has also completed phase IIIa, only IIIb to go. Heliconda has finished phase II & will enter phase III. This reduces the requirement to raise more funds through equity issues just to survive. • Strategy to target the severe/chronic cases with nothing to lose by using these drugs should result in fast-track approval (but not guaranteed). • Strategy re partners a very effective way to reduce costs. • Experienced CEO – been there & done that, with a similar GI company in Canada & ran it to US$800m mkt cap. CDD a well-established business, with further drug combinations in the pipeline. • All components drugs of Giaconda’s patented combinations are off patent. • Margins will be very healthy (90%+) for Giaconda’s partners, ensuring attractive commercial deals with good up front payments, milestone payments & royalties. • Inventor is NOT the CEO; the main failing of many Australian Pharma/Biotech start ups. • “Rescue Therapy” company, working in areas where current therapies failing a good proportion of the market. “Meeting Unmet medical needs” • Seems very attractively priced compared with other Australian listed Pharmaceutical companies (see page 3 of “Giaconda report”).
Negatives: No friendly Gorilla/distribution system in place/No marketing partner has been signed up as yet.
However, discussions are at an advanced stage with at least one of the 24 companies contacted so far from the 41 targets identified in their global market search. • efficacy shown to date; • short time to market; • using current proven drugs off patent; • lower costs; high margins; • great need to replace revenue/margin from many drugs coming off patent • great market need – addressing severe end of their markets with high proportion failing current therapies • all would suggest a strong probability in Giaconda being successful in finding their required partners to market their products. The deals Giaconda need to do are with the same companies that the CEO did 32 deals with at his previous Canadian company.
• Commercialisation Implementation Licensing Strategy based upon • Upfront fees + Royalties + Development • Selection criteria Yielded target list of 41 companies in US, EU & Australia Met with 24 representing 20 countries All need new, patent protected products, now Expectation is that these discussions will yield at least one partnership agreement within next 6-9 months that will begin to deliver early revenues to Giaconda. They are going to some trouble to ensure they select partners that don’t have competing lines, but have a need & the marketing power to take their products successfully to market.
I think the following para is a great summary of why they are a stand out in this area (from page 1 of the Corporate research):
What distinguishes Giaconda from all its peers in the Australian pharmaceutical space is the close association between clinical practice and drug discovery, with an overarching desire on the part of Dr Borody to provide effective treatments for his patients. Therefore Giaconda is not a collection of molecules that may or may not show promise in clinical trials. The patents that are the basis of the Company are the results of decades of clinical experience with thousands of patients, and thus there is little doubt about the outcome of clinical trials and the market demand for the Company’s products.
- From that same report, page 2: One of Giaconda’s advantages over its competitors in this field is that its drugs are based on extensive clinical practice, and thus the results of its clinical trials can be predicted with greater certainty.
cheers,
ned, as usual; CAVEAT EMPTOR - risk in all stocks. Everyone should seek professional advice & not make investment decisions based on what they might read on an Internet chat site, or receive from me (who is just an enthusiastic amateur). Remember, this information is probably worth what you paid for it.
GIA Price at posting:
0.0¢ Sentiment: LT Buy Disclosure: Held
