Per article, link pasted below, the value of NGIO is estimated to be $300 million. GNBT plans to own at least 51% of the NGIO...which should add $3 in GNBT in PPS. So, with the NGIO spin out, there is a possibility that PPS for GNBT can go over $4.
Currently GNBT owns more than 90% of NGIO...GNBT gave NGIO dividend to GNBT shareholders a while back...that's why GNBT does not own 100% of NGIO.
My understanding is the Joe plans to raise money for NGIO...but he plans to keep at least 51% of NGIO....so after the spin out, GNBT should own at least 51% of NGIO.
https://seekingalpha.com/instablog/400122-tho...ts-generex
Relevant section copied and pasted from article -
So, the listing of the cancer vaccine subsidiary NGIO will put a hard dollar amount to a part of the company that seems to have been passed over as far as value goes. That listing, not to be confused with GNBT’s uplisting (to be clear we are talking about two listings, GNBT and NGIO), is to expected sometime in the next 60 days. I use for comparison Immune Design, which went for $300 million to Merck, who is partnering with Merck. As it turns out, Generex's subsidiary, NGIO, is also partnering with Merck on a similar footing, and that is the basis for the analogy. GNBT will own at least half of NGIO. So, 50% of $300 mil = $150 mil. $150 mil/53 mil shares = $2.83. My take is that GNBT should enjoy something like a $3 improvement in price.
Currently GNBT owns more than 90% of NGIO...GNBT gave NGIO dividend to GNBT shareholders a while back...that's why GNBT does not own 100% of NGIO.
My understanding is the Joe plans to raise money for NGIO...but he plans to keep at least 51% of NGIO....so after the spin out, GNBT should own at least 51% of NGIO.
https://seekingalpha.com/instablog/400122-tho...ts-generex
Relevant section copied and pasted from article -
So, the listing of the cancer vaccine subsidiary NGIO will put a hard dollar amount to a part of the company that seems to have been passed over as far as value goes. That listing, not to be confused with GNBT’s uplisting (to be clear we are talking about two listings, GNBT and NGIO), is to expected sometime in the next 60 days. I use for comparison Immune Design, which went for $300 million to Merck, who is partnering with Merck. As it turns out, Generex's subsidiary, NGIO, is also partnering with Merck on a similar footing, and that is the basis for the analogy. GNBT will own at least half of NGIO. So, 50% of $300 mil = $150 mil. $150 mil/53 mil shares = $2.83. My take is that GNBT should enjoy something like a $3 improvement in price.
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