Why IMU is a multi multi bagger, page-11504

There has been some discussion about potential take over offers for IMU – especially with the current depressed SP in play.

In context, we all know that biotech companies will always be speculative – and always only as successful as their latest results. IMU is no different – despite results being extremely positive in the past.

Let’s look at some options (none will be that surprising) and as the options go up, they become less likely and will push the boundaries of reality somewhat. Bear in mind, that a few Biotechs have defied reality to become massive companies. Even BP started out as small speculative companies in their earlier stages.

Option one: Someone sees IMU’s SP and has a couple of billion to spend and they make an offer. This would not be to shareholders liking I would say.

Option two: Results from trials are ordinary. This diminishes the attractiveness of IMU to other players in the biotech sphere. This, of course, is possible and we can’t discount it altogether. SP either remains where it is or may actually get a hit and decline a bit.

Option three: Trial results are positive and promising. This will require additional trials. SP rises to 20 cents. At this point, BP would become aware of IMU to an extent that it may see some relevance to its own operations. Maybe enough to make a bid for IMU or, perhaps, one of its products.

Option four: Trial results are outstanding and the SP hits $1 as a result. IMU is now valued at $6.5bil. BP will easily. BP can see the benefit to their own operations of IMU’s technology. $10bil is pocket money to BP – any bidding war may push the offers to $20bil. Small price to pay if a BP sees massive profits in Any deal – and they can stop competitors from getting IMU.

Option five: Trial results produce a product (let’s say a vaccine) that is proven to cure (sorry to use the “C” word) 90% of cancers and extends the life expectancy of the other 10%. OK, the sky is the limit here – this is the holy grail of medicine. This actually decreases the likelihood of a take over as the acquisition price to be paid is enormous– but definitely increases the chance of a BP forming a partnership with IMU. IMU would then morph into a supplier of IP and have a significant income stream.

Which option will prevail? 2023 could be a very exciting year – one way or the other. We can never write off any possibility of a third party narrating the story.