Think this thru. There are 90 million shares of SGYP outstanding. Ram has placed a price tag of $25 per share. That is a $2.25 BILLION Mkt
cap. Virtually impossible. Ram should go to jail on that call. The retail Bulls here have been hood winked. I actually hate to see you guys get screwed. $10 per share would be fair value in two years. I know we can do that.
Ding King the market value for linzess is $3 Billion. With the approval of plecanatide SGYP will easily command a $2+ Billion market cap, especially with a better safety profile.
And We will likely be well over $10 next year based on the IBS phase II data and the CIC phase III data. IMO the company will be bought after the IBS phase II data read.
Now, As cantor said in their report last week, SGYP is a take out candidate, they have no intention to commercialize plecanatide. And given that scenario big pharma will want control of the asset heading into registration trials. Like I said earlier after the IBS data is reported i think this company is sold at $20.
I've been part of multiple small biotechs ventures and seen this play out several times. If the company has no intention to commercialize they will maximize value upon exit after completion of phase II proof of concept trials. They demonstrated this once with CIC already, and since IBS is the larger market, once they validate the IBS profile they are all but bought out. That's just the way it works ding king. You have to stop thinking 2-3 years out and recognize the business model is for an exit, not commercialization.