I don't post very often, but thought I would post my musings regarding this very different NNLX communication involving the intent to sell patents. Usually NNLX posts only positive communications. So I assume that this is considered very positive by NNLX.
Positive:
1. NNLX continues explore ways to fund the business without resorting to toxic financing which has ruined a host of small companies.
2. NNLX must think the patents are very valuable and can reasonably get a large one-time infusion of cash from the sale of each patent (or bundle of patents).
3. NNLX has determined that the largest opportunity lies in N-Assay development (this seems to be the thrust of their communications for quite some time now) and their activities with the Gates Foundation along with other unnamed organizations. So they are willing to sacrifice the smaller opportunity (flatpack) to fund the greater opportunity (N-Assay). Any company must make these painful decisions based on the window of opportunity currently presented to the them in the light of the resources they can bring to bear.
4. The sale of the patents, if successful, will fund an increasing velocity of N-Assay development without diluting the stock.
Unknowns:
1. How much can they really get for the patents? Will a large company pony up significant cash when it might see the opportunity to scavenge patents from the company at a later time in a post-mortem activity? I have seen this scavenging on several companies.
2. NNLX appears to have abandoned the idea of licensing the patents so as to get a steady stream of royalties. Must be some sort of hurdle to licensing that NNLX has decided to forego. Hopefully, someday we will hear the rest-of-the story.
3. Abandoning the massive Chinese market is sad to me. I always wondered if there was any attempt to penetrate non-USA markets where the FDA hurdle is not present. Anyway, once this is done, and if the purchasing company successfully and rapidly develops the flatpack, is it really reasonable to keep the Chinese product out of the USA, UK, and SA. I seem to have no problem buying Chinese products. It is not clear to me why a large medical facility, with Chinese contacts or affiliates, wouldn't buy from China who would most likely be undercutting NNLX.
I am confident that NNLX has considered the unknowns along with other issues beyond my musings. So I hope the patents are sold quickly and for a substantial sum.
Positive:
1. NNLX continues explore ways to fund the business without resorting to toxic financing which has ruined a host of small companies.
2. NNLX must think the patents are very valuable and can reasonably get a large one-time infusion of cash from the sale of each patent (or bundle of patents).
3. NNLX has determined that the largest opportunity lies in N-Assay development (this seems to be the thrust of their communications for quite some time now) and their activities with the Gates Foundation along with other unnamed organizations. So they are willing to sacrifice the smaller opportunity (flatpack) to fund the greater opportunity (N-Assay). Any company must make these painful decisions based on the window of opportunity currently presented to the them in the light of the resources they can bring to bear.
4. The sale of the patents, if successful, will fund an increasing velocity of N-Assay development without diluting the stock.
Unknowns:
1. How much can they really get for the patents? Will a large company pony up significant cash when it might see the opportunity to scavenge patents from the company at a later time in a post-mortem activity? I have seen this scavenging on several companies.
2. NNLX appears to have abandoned the idea of licensing the patents so as to get a steady stream of royalties. Must be some sort of hurdle to licensing that NNLX has decided to forego. Hopefully, someday we will hear the rest-of-the story.
3. Abandoning the massive Chinese market is sad to me. I always wondered if there was any attempt to penetrate non-USA markets where the FDA hurdle is not present. Anyway, once this is done, and if the purchasing company successfully and rapidly develops the flatpack, is it really reasonable to keep the Chinese product out of the USA, UK, and SA. I seem to have no problem buying Chinese products. It is not clear to me why a large medical facility, with Chinese contacts or affiliates, wouldn't buy from China who would most likely be undercutting NNLX.
I am confident that NNLX has considered the unknowns along with other issues beyond my musings. So I hope the patents are sold quickly and for a substantial sum.
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