Makingmillions192
Sep 28, 5:11 PM
$LEXX Based on recent comments from about transferring R&D costs to external partners one can only assume they are positioned for an out-licensing deal.
Probably with a mid-tier regional partner.
If Lexaria signs a regional out-licensing deal (e.g., licensing DehydraTECH GLP-1 rights in Asia to a mid-tier pharma like PegBio or Sun Pharma), the financial reset instantly eliminates the sub-cash discount and establishes a commercial floor.
Valuation Reset Breakdown
Upfront Cash Influx: A typical regional mid-tier deal brings
$10M–
$25M in upfront cash.
Immediate Enterprise Value Re-Rate: Net cash jumps from ~
$7.9M (
$4.60/share) to
$18M–
$33M (
$10.50–
$19.20/share). The EV flips instantly from negative to positive as the market applies a baseline platform multiplier.
Royalties: The headline deal includes
$50M–
$150M+ in clinical/commercial milestones plus tier-based royalties (5%–12%) on regional sales, all while the partner absorbs local R&D/trial costs.
$TEVA $JAZZ $SUNPHARMA.NSE
0 replies