I am hearing rumblings of at least 3 big Pharma corporations that are in the midst of discussions with AVNR regarding the buyout of the company. How long AVNR can hold out from being taken over is the question. The PPS is being artificially kept below the $5 level, so that a buyout in the 2 to 3 times the current price level does not appear to be too cheap ($9 to $13). We the Long owner retail investors in AVNR know that this stock should now at this current point in time be valued at the $7 to $8 PPS level. The Big Pharma bids will be disclosed before the EU launch and before the Generic lawsuits are settled so that they can try and steal AVNR at a relatively low cost to them. Thus the reason AVNR just setup a $25 million shelf registration to purchase shares at $4.57 PPS for certain long term non-senior executive employees of AVNR so that they can also benefit from the eventual takeover/bidding wars, and deservedly so.
Whether or not AVNR tries to put in place a poison pill to prevent these takeover bids from happening in the $10 range remains to be seen so that they can remain autonomous, or partner in the EU so that they can get the stock price up to where it deserves to be, we will just have to wait and see. Either way, we will be hearing something along these fronts and before the Generics are out of the picture. Otherwise, it will cost big Pharma a lot more afterwards probably in the $13 to $18 range. So my advise to you is to not get spooked out of your shares by the Shorts tricks because we will see another bear raid or two before the inevitable bidding wars begin. Stay Long and Strong and endure the course as you will be rewarded handsomely within a relatively short period of time! Peace!
chouse263: Just WHERE are you picking up on these "rumblings"??? Are you just making it up or can you corroborate this? I think most of us longs are really tired of unrealistic pumping on this board!!!
I would welcome a press release stating 'several' big Pharm Co are seriously interested in AVNR. We need another catalyst to propel the pps north of $5. No need for any ballpark buyout prices to be announced at this time - the unknown would do just fine.
Exactly. How many upgrades does it take for this to move north??? We have had at least 5 and it sits here like a rock. Something is keeping a lid on it as there can't be that many sellers relative to all the good news recently. What is the difference between this guy and all the B S ramblings by most everyone else here who doesn't have a clue???
Chouse263's analysis is sound. A generic-filed lawsuit issue is not a big deal for experienced companies. They recognize it as part of the game and have plenty of legal talent either in-house or on contract to manage the issue IF the perceived revenue stream of the target is respectable. The delay, in my opinion, has been the glacier-esque penetration of Neudexta into the market. Clinching European approval was also an issue, but Nuedexta needed to prove it had legs and customer demand/acceptance. That corner is now being turned and, like Chouse263, I also anticipate movement in the next month or so. Doesn't mean we'll be right, but I don't see the lawsuit as an issue once the product's performance is established.