I'm not sure it is necessarily that complex. Ther
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Posted On: 01/09/2021 12:47:48 PM
I'm not sure it is necessarily that complex. There is currently no value for the NGIO shares. So as long as Joe retires shares before the IPO, he could remove as many shares as he sees fit in order to get a listing price.
I actually wouldn't mind this, as it would increase our ownership % with the div shares.
The other alternative, of course, is to do a r/s, again before the IPO. I'm not a huge fan of this, as it would not give us that boost in ownership.
That said, in my very strong opinion on this matter, the most important thing is to get this train out of the station now that we have the valuation. Further delays will only cause potentially massive dilution. If we were to wait 6 more months for an IPO, we could get 50-100% (or even more) dilution just to keep operations going. We could lose AltuCell. We could lose other opportunities in AZ.
So I trust that Joe and Team are assessing the marketability of NGIO shares based on the valuation and their ability to upsell potential investors based on all of the future potential cash flows and opportunities.
They will simultaneously be calculating how much cash they really need in order to start ramping up further testing, etc. for NGIO and a rollout for GNBT initiatives. If they do this intelligently, they may be able to reduce the IPO share outlay and stay further above 50% ownership.
As CV testing proves out or other initiatives show more proof of concept, NGIO shares go up, and Joe can sell more shares as necessary.
Meanwhile, with a large ownership in a NAZ-listed, marketable security, GNBT shares would actually accrue measurable and significant value, whatever that may be.
This is a huge step... take it, Joe.
I actually wouldn't mind this, as it would increase our ownership % with the div shares.
The other alternative, of course, is to do a r/s, again before the IPO. I'm not a huge fan of this, as it would not give us that boost in ownership.
That said, in my very strong opinion on this matter, the most important thing is to get this train out of the station now that we have the valuation. Further delays will only cause potentially massive dilution. If we were to wait 6 more months for an IPO, we could get 50-100% (or even more) dilution just to keep operations going. We could lose AltuCell. We could lose other opportunities in AZ.
So I trust that Joe and Team are assessing the marketability of NGIO shares based on the valuation and their ability to upsell potential investors based on all of the future potential cash flows and opportunities.
They will simultaneously be calculating how much cash they really need in order to start ramping up further testing, etc. for NGIO and a rollout for GNBT initiatives. If they do this intelligently, they may be able to reduce the IPO share outlay and stay further above 50% ownership.
As CV testing proves out or other initiatives show more proof of concept, NGIO shares go up, and Joe can sell more shares as necessary.
Meanwhile, with a large ownership in a NAZ-listed, marketable security, GNBT shares would actually accrue measurable and significant value, whatever that may be.
This is a huge step... take it, Joe.
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