To follow-up on the inventory discussion as I see

To follow-up on the inventory discussion as I see this as potentially being a key to being up-list eligible to help meet the equity requirement that you previously outlined....other than the share price requirement and if an upfront payment is not secured before then meeting the equity criteria.

CytoDyn noted in the 10-Q that the pre-launch inventory is not eligible to be capitalized and that this determination will be made once the BLA has been filed. This aligns with the GAAP guidance that in order to capitalize it must be reasonably certain that all regulatory and legal requirements will be satisfied.



Once eligible, the capitalization value of the pre-launch inventory will be the cost....."the pre-launch inventory may be capitalized at the lower of cost or market under ASC 330, Inventory."



https://www.pwc.com/gx/en/pharma-life-science...ooklet.pdf

I am not sure what the value of this pre-launch inventory to be capitalized would be, but say 10% of the $200M that we currently know of (based on $120K per patient per year)....this would be $20M. That would be enough to meet the equity up-list requirements.

Another benefit of this capitalization if they no longer need the equity requirement to up-list would be potentially used in asset financing if they need a quick infusion of cash to get them across the finish line in late 2019 or early 2020.

Thanks for the guide on inserting pictures.....hopefully these worked.

Please do your own due diligence. All my posts and comments are not to be considered investment advice.