Ive got to the end of the IM (to be honest I only skimmed the Deeds prepared by the solicitors, no offence writer but I find legal stuff sends me to sleep! Thought this info belonged under the Truth thread for reasons already set out regarding the veracity of the review and authorisation of every word in the IM.
1. CDIs are anticipated to commence trading on the ASX on 20 January 2010 2. Likely increase in demand from US investors currently precluded from investing in non-US based stocks 3. NASDAQ average PE for sector is 35, ASX is 18 4. Total market for syringes is 35b globally and 2.3b prefilled used in 2009 5. 1.3m people die each year as a result of needlestick injuries/reuse/unsafe injection practices 6. There is no competitor in the prefilled space 7. IA with sanofi provides that UNI doesnt have to commit more than 30% of its production capacity, unless orders are received 24 months in advance 8. UNI to pay SA 5% royalty on prefill sales to other pharmas up to $556m, 70% of any upfront fee received from other pharma until total upfronts exceed $23.34m and if upfronts exceed this level pre June 2014, the rate reduces to 30% to June 2014. The ref is p63 for this fact, should you like a better explanation. Now lets think this through for a moment, SA have been talking to UNI for five years, they know what they are doing (even though they are french!) they know UNI better than anyone here. Now why would they require such conditions unless they were more likely to be triggered than not? And there is Select. Wow wow 9. Recently there have been questions asked about KDL, you will find the answer at para 3 on p 66 10. Annual capacity from Lewisberry by the end of this year will be 40m pa 11. 1ml syringes will be sold via distributors in the US, a distributor has already been appointed in canada 12. Unitract is a registered trademark in 25 countries 13. 2.1m options with an exercise price of 25c expired on 31 December 2009 under the ESOP. Maybe some of the recent selling has come from employees wanting to buy xmas presents? 14. UNI has engaged a US remuneration consultant to advise the board regarding executive packages. US investors have requested same. 15. Shares acquired post 20 Sept 1985 can rely on scrip for scrip roll over relief in the 09/10 return, the method of preparation of return will be indicative, ie you dont need to disclose a gain if not realised, p123. 16. Earnings generated in the US will be subject to US tax law, state and federal. Withholding credits will be acknowledged here, no franking. Carried forward tax losses in Aus will only be recovered out of earnings generated locally. 17. Shortall contract provides for a 24 month restraint of trade however only 3 months notice by either side, this seems a little short to me. 18. Bosnjak, only one months notice? Doesnt seem right 19. Carter, well this one really does bother me. He was made redundant as CFO in January 2009 with a payout of 180k then retained on a contract basis for 20k per month. Then they appointed Daniel Calvert as CFO around the same time. Doesnt sound like a redundancy to me, given this was around the time UNI moved to the US it looks like Carter didnt want to move away from the grandkids! Please 20. The PKF report, congratulations on regurgitating the IM and saying very little, well done, what was the fee? 21. 5m more shares are being gifted to the inventors, just to be sure of the security of IP, requested by SA, well if they insist! 22. And I didnt read the ESOP, but more than happy to see the goals of staff aligned with shareholders.
That concludes my summary. Game on as far as Im concerned.
UNI Price at posting:
90.5¢ Sentiment: Buy Disclosure: Held
