Why IMU is a multi multi bagger, page-20822

Thanks @Zior my post was referring to the IMU multi bagger thread, and topics discussed, of which business development and Monil Shah’s role is often one. As noted though my focus was to be on the fundamental development of the company, as opposed to managemnt issues, which for me are a distraction from the vast improvements made from a clinical perspective in recent years.But since you have raised the issue, I note that at the time of Monil Shah’s appointment Imugene Chairman Paul Hopper noted “Monil adds a critical business development capability to our senior management team”. In the role of business development he was contracted in June 2021 to lead the Company’s global business development and partnering activities. Since that date one could argue the only significant partnership during his tenure has been a supply agreement with Roche which had no commercial or monetary tag attached. Whilst he may or may not have been instrumental in the acquisition of Azer Cel from Precision Biosciences, I would note shareholders paid close to $4.6m AUD in fee to Chimeric Therapeutics and professionals for that transaction, so I would be hoping they themselves had something to do with the acquisition. Otherwise if Monil did most of the leg work, which incidentally he is paid for, was the $3m USD or thereabouts simply a finder fee, or back hander as it were? If so it’s a pretty hefty one.

My debate has often not centred around Monil, Paul Hopper or others at Imugene, when it comes to business development, in particular M&A activity. I simply would have preferred to have this activity outsourced to leading corporate advisors in the US. The IMU Board has chosen not to take this route, so I like you must respect their decision. I am not here to throw stones at Monil Shah or the Imugene business team, but I do note one or two leading shareholders I liaise with are of the opinion they have brought more leading shareholders to Imugene than Monil has, during his tenure. Incidentally they have not received remuneration for their massive introductions to the IMU register (nor are they asking for it). Looking at the register of leading and ancillary shareholders I would not care to argue with them. In terms of solid partnerships I can see no significant partnerships with leading biotech investment firms such as Baker Brothers and others who are notable for investing in oncolytic viruses (i.e., Replimune) or immunotherapy products, on the register. If so and Monil has indeed cultivated significant business interest in Imugene, why are we consistently raising cash at large discounts to the prevailing share price of the day? As you suggest Azer Cel was a good deal, therefore why couldn’t we partner with a few leading funds, investors or financiers rather than giving away stock at reduced rates in what ended up to be akin to a fire sale to retail investors.

Management has made it clear their drugs are most likely to receive interest at the closure of Phase 2, or therabouts. June 2022 results were outstanding for the her Vaxx vaccine. PD1 Vaxx results support proof of B Cell concept. Understandably term sheets, due diligence, memorandums of understanding and the complexities surrounding product valuations take considerable time. Though the increased level of M&A activity in 2023 is undisputed, with Imugene not raising so much as a major player when it comes to their share register. The companys leading shareholders are still made of of predominantly Imugene staff themselves and a handful of individuals. To some leading shareholders I liaise with this absence of US institutional presence on the register is unsatisfactory given the value proposition Imugene presents to the market. Take that as you may, but their opinions are undeniably warranted, when you contrast the IMU register with that of their competitors.

I sincerely hope Monil Shah proves me and others wrong. I am placing my faith in him to secure the necessary partnerships required to advance Imugene toward market for their leading candidates. Contrary to the belief of many Imugene cannot fly solo when it comes to the ultimate marketing of their immunotherapies. They simply do not have the cash, distribution channels nor marketing prowess to do so. As such they are required to engage with third parties. Have they been held back to date, could their immunotherapiies such as Her Vaxx and PD1 Vaxx have benefitted from a Big Pharma or international investor in recent years? Has Monil made the right choice in continuing to go toward market without partnership investment? I sincerely hope he has, and continues to earn his bonuses as a consequence. Maybe a deal is around the corner, if not maybe a deal now is not in the best interests of Imugene.

In conclusion I note Monil Shah is the Business Development manager, not me. You are correct in saying we are not privy bro what occurs behind closed doors in the Imugene Boardroom. Clearly Leslie Chong and shareholders such as you have faith in him, so he must be doing something right.

DYOR Opinions only