Most of us are expecting a BK or BO situation being announced in the next 2 months but what if we all got it wrong!! Look at the following text taken from the Tesaro Merger in which they contacted a PE investor for funding. This would actually make the most sense with the stock trading at 34 cents. A low premium BO would be a terrible deal for us and an offer for $11 is 3500% premium from current prices; are the acquiring shareholders going to approve this? Unless its like $3-5 upfront with CVR contingencies for $11 later? Whereas, a private equity deal in exchange for royalty payments will give us enough money to see first line approval next year and readout from Athena combo at end of year. Then they can sell Clovis for its rightful value of $22+ or 4 Billion dollars?
In furtherance of the Company Board's consideration of potential financing alternatives, on April 19, 2018, Mr. Moulder contacted a private equity investor, which we refer to as Party C, to request a discussion regarding a potential synthetic royalty financing pursuant to which Party C would provide the Company with financing in exchange for a royalty on sales of the Company's product candidates.
In furtherance of the Company Board's consideration of potential financing alternatives, on April 19, 2018, Mr. Moulder contacted a private equity investor, which we refer to as Party C, to request a discussion regarding a potential synthetic royalty financing pursuant to which Party C would provide the Company with financing in exchange for a royalty on sales of the Company's product candidates.