What's new
Fantasy Football - Footballguys Forums

This is a sample guest message. Register a free account today to become a member! Once signed in, you'll be able to participate on this site by adding your own topics and posts, as well as connect with other members through your own private inbox!

***OFFICIAL CYDY/Leronlimab Thread*** (2 Viewers)

djmich said:
Folks getting excited about a pop tomorrow...personally not seeing it without trial results but will take it
Click to expand...
It's a sign of life for the company, for sure.  Says something that they have enough assets to secure a 25 million dollar loan, but for a 2 billion dollar company I would be surprised if they couldn't.

Anything at this point is good news if it shows they're continuing to move forward.  25 million to use on all the stuff coming up is helpful.  

Again, anything showing future growth, commitment to expanding, and sufficient support from outside investors/lenders is good news.  But it's not results, the loan folks almost certainly didn't see the results.  I'm guessing part of the loan was based on a bit of a gamble that the share price would be above $10 using this money to help uplist...so at worst they get their 10%, but on the upside of a successful uplisting, they can make out quite well.  Pretty good terms for the lender imo.

 
adonis said:
The note is a 2 year note at 10% interest.  It's backed by the assets of the company.  Uplisting required a certain amount of assets, so I wouldn't be surprised if they had sufficient assets on hand to secure the loan.  Is a 10% interest loan on 25 million payable in 2 years excellent terms if it's secured by significant assets?  Legit question.
Click to expand...
If I watched enough Shark Tank, the sharks always offer 8% interest as some sort of carrot to dangle to investors. So I'm assuming 10% is on the low end of standard interest.

 
BassNBrew said:
The last financial statement shows $29,000 in property, plant, and equipment (basically less than what's in my garage) and $14.5 million in intangible assets.  This loan isn't secured by jackchet.
Click to expand...
How does that square with the requirements for uplisting in terms of assets needed?

 
fantasycurse42 said:
I'm still holding 4k shares of pure profit. Knowing that I got almost half out at the HOD for more locked in profit gives me solace. I'm going to ride these 4k shares into the ground, but the more I've dug, the less I've wanted to be invested. Now that I've pocketed $20k, I'm good with the gamble and it was already a phenomenal bet no matter what happens. If NP doesn't discuss anything in regards to efficacy for M2M or have anything of importance to share on the severe, I think this could be low $3s by close Friday.

At this point the selling comes back to NP, broken trust, and lost faith. If this has some excellent results and finds it way to $20, I'll be happy with a 6 figure profit and that will be that. I simply can't see this company being the millionaire maker we were all discussing until there is a new CEO.
Click to expand...
This is where I am. I forget how much profit I’ve cashed out already by it’s probably 20-30k, and I’m sitting on 5k shares more in pure profit. I’m tempted to just walk away with the cash. But I’d be super duper mad if it runs to 20 and I miss it. So here I am. 

 
Phew, good news. I used to click on this topic with excitement (the run up to $10 days), but recently I click with my eyes half open and my hand in front of my face. This feels good. For now.

 
djmich said:
Folks getting excited about a pop tomorrow...personally not seeing it without trial results but will take it
Click to expand...
I'd rather see a short attack.

We are either involved in the biggest scam ever or something good is about to happen.  I can't see any institution in this lending climate giving a $25 million dollar loan secured by $29,000 in property with having the goods.  This would be a career ender for anyone involved at that institution.  Most of the financial institutions are scrambling to build reserves to cover loan defaults, not gambling writing checks to wacky CEOs of 10 person companies.

 
adonis said:
It's a sign of life for the company, for sure.  Says something that they have enough assets to secure a 25 million dollar loan, but for a 2 billion dollar company I would be surprised if they couldn't.

Anything at this point is good news if it shows they're continuing to move forward.  25 million to use on all the stuff coming up is helpful.  

Again, anything showing future growth, commitment to expanding, and sufficient support from outside investors/lenders is good news.  But it's not results, the loan folks almost certainly didn't see the results.  I'm guessing part of the loan was based on a bit of a gamble that the share price would be above $10 using this money to help uplist...so at worst they get their 10%, but on the upside of a successful uplisting, they can make out quite well.  Pretty good terms for the lender imo.
Click to expand...
If this doesn't move significantly above $10 in the next two years, this institutional is probably netting $5000 and only if Storage Wars renews and brings Dave back.

 
So how risky would it be to put in a buy order for the open?  I'm assuming we'll get a run up followed by a sharp downturn.  I don't want to put in a market order and get stuck with @Capella $100 shares.

 
Still convinced any type of tangible “news” comes out after the Nasdaq up listing.  The PR pieces and scheduled calls are a way to stay visible and keep investors patient as they are working through a regulatory agency and anticipating good results from science they believe in.  
 

Have seen the peer review thing come up a couple times.  Have some indirect knowledge of this in a general sense.  It takes a long time and is out of NP’s hands.  The lack of publication so far means nothing.  It likely reflects that the reviewers haven’t gotten to it or they have and asked questions that need to be addressed in the models.  It isn’t complete until all the reviewers have submitted their feedback and the writer has had a chance to address the feedback.  
 

Still boils down to whether you think the science is legit and whether they are able to monetize it before or along with others in the space.  

 
Capella said:
Going to be fascinating watching the stock price tomorrow. 
Click to expand...
Would be a good time for Adam F. to unleash his doom reporting on the stock via a misleading report.

Nader P. has done well this week by NOT releasing this news via the hokey video paid press release.

 
Otis said:
Here let me help you: a slow melt down 4% during the course of the day.  Like watching thick paint run down the walls on a hot day. Riveting. 
Click to expand...
I don't think I like your attitude, Mr. 

 
Otis said:
This is where I am. I forget how much profit I’ve cashed out already by it’s probably 20-30k, and I’m sitting on 5k shares more in pure profit. I’m tempted to just walk away with the cash. But I’d be super duper mad if it runs to 20 and I miss it. So here I am. 
Click to expand...
If your documented history of money management here is any indicator, for all our sake please sell tomorrow. 😝

 
Dwayne Hoover said:
Even the Losers (get lucky sometimes)

that's mean
Click to expand...
I know the song "The Waiting" (is the hardest part)

"You take it on faith, you take it to the heart"

I didn't know Petty wrote so many songs about Cytodyn.  Do you think Refugee was an ode to NP?

 
Last edited by a moderator:
adonis said:
The note is a 2 year note at 10% interest.  It's backed by the assets of the company.  Uplisting required a certain amount of assets, so I wouldn't be surprised if they had sufficient assets on hand to secure the loan.  Is a 10% interest loan on 25 million payable in 2 years excellent terms if it's secured by significant assets?  Legit question.
Click to expand...
Right now we are working with a bank for several loans totaling around 7 million.  They are not fully secured.  We are getting 3.5% quoted to us and hear other companies getting around 2.8% that are securing their loans more.  

Now only 1 million of this is for a LOC.  The rest is debt restructuring,  new building, new plant and new equipment.  10% seems high to me but it is straight unsecured cash and if I read right the intangible assets are not in play.

 
Last edited by a moderator:
Golf Guy 69 said:
Right now we are working with a bank for several loans totaling around 7 million.  They are not fully secured.  We are getting 3.5% quoted to us and hear other companies getting around 2.8% that are securing their loans more.  

Now only 1 million of this is for a LOC.  The rest is debt restructuring,  new building, new plant and new equipment.  10% seems high to me but it is straight unsecured cash and if I read right the intangible assets are not in play.
Click to expand...
Do you have any, um, revenue?

 
Anybody here catch this part? 
 

This injection of capital will help us deliver leronlimab to patients as soon as the regulatory pathway is clear for potentially COVID-19 (for three different populations)
Click to expand...

3? 🤨

 
Golf Guy 69 said:
Right now we are working with a bank for several loans totaling around 7 million.  They are not fully secured.  We are getting 3.5% quoted to us and hear other companies getting around 2.8% that are securing their loans more.  

Now only 1 million of this is for a LOC.  The rest is debt restructuring,  new building, new plant and new equipment.  10% seems high to me but it is straight unsecured cash and if I read right the intangible assets are not in play.
Click to expand...
It's secured by $29,000 in k-cups and leftover annual reports from 2006.  What kind of rate are you getting on that collateral.

 
This loan sends some serious signals. If tomorrow's call doesn't address results that presumably form the basis for the bank to grant the loan, you can bet there will be questions on it in the Q&A. Bank has probably seen the results and liked the risk. Bank probably knows the terms of the other agreements too, like manufacturing and distribution. This is good enough for me to sit on no news tomorrow. Absent good trial results, we may have nowhere to go but down after market close tomorrow.

Aside from the fact that the share price usually drops when NP is yapping, any regulatory or legal reason the call would be scheduled when the market is closed? 

Finally a night where I might go to sleep thinking positively about tomorrow. 

 
⚡DEADHEAD⚡ said:
This loan sends some serious signals. If tomorrow's call doesn't address results that presumably form the basis for the bank to grant the loan, you can bet there will be questions on it in the Q&A. Bank has probably seen the results and liked the risk. Bank probably knows the terms of the other agreements too, like manufacturing and distribution. This is good enough for me to sit on no news tomorrow. Absent good trial results, we may have nowhere to go but down after market close tomorrow.

Aside from the fact that the share price usually drops when NP is yapping, any regulatory or legal reason the call would be scheduled when the market is closed? 

Finally a night where I might go to sleep thinking positively about tomorrow. 
Click to expand...
I don’t know much about this investment world but I was thinking the opposite actually. I would think the loan would take longer than the 10 days or so it’s been since the results first came back. So my assumption was that the loan has been in the works for a bit and was based on other positive information that didn’t hinge on that result.  So for me that made the news of the loan even more positive as they were seeing something about the company other than just these upcoming results. 

 
Last edited by a moderator:
BassNBrew said:
cydy

$91,000 in receivables.

$16.2 million in payables.

Yeah, they'll be able to pay that loan back.
Click to expand...
Seems like a really good deal for an institutional investor who thinks it highly likely they get FDA approval and uplisted.  They should make a killing on this, and hit it huge if it can be used for Covid.

The question I ask is what's the benefit of doing this over just investing the 25 million in shares.  Going to assume that at worst, they expect to get 10% from the HIV portion of the business (assuming it will be approved and create sufficient revenue to repay the loan on normal terms, if the SP stays under $10), and at best for every dollar over $10 the share price climbs to in the next two years, they get a 10% return.  If it's $19, they can get a 90% return.

So basically their lower bound is 0 in bankruptcy I assume, but they think that unlikely, so they consider their lower bound to be 10% interest over 2 years.  The upper bound is limitless if their cash can be used to help uplist and do other "businessy" things that help get the share price up.  Seems like a good situation for both sides, although like another poster asked...I assume Cytodyn will have to hold in reserve, or buy back sufficient quantities of stock that at $10 share price totals the balance of the loan so those could be used to pay off the loan.  Even better for Cytodyn if they can get those shares at a low price or already have access to them at very low prices.

 
Last edited by a moderator:
Looks like it may have been Iliad, who has done loans with CYDY before:

https://www.cytodyn.com/investors/sec-filings/all-sec-filings/content/0001193125-19-022650/d700425dex41.htm

https://sec.report/Document/0001193125-20-099591/ - similar terms, but $4.50 share price.

Anyway, looks like they've had several loans with this company before and were able to get these loans without seeing amazing results.  Odds are the terms of the loan are very favorable for the lender, and must have worked out the previous few times as they keep coming back.

This was someone's take on the yahoo board, which again is mostly garbage but I happen to agree here:

Today's news is neutral. The two 8k amendments recently changed the loan terms on the last $17M loan allowing Iliad to convert the loan into 3.8M shares and sell immediately which I believe they did. The new loan was the deal they made to get those amendments. Increased it but still at 10% interest and now they have confidence cydy can repay the loan with 100m shares authorized.
Click to expand...

 
Last edited by a moderator:
adonis said:
Looks like it may have been Iliad, who has done loans with CYDY before:

https://www.cytodyn.com/investors/sec-filings/all-sec-filings/content/0001193125-19-022650/d700425dex41.htm

https://sec.report/Document/0001193125-20-099591/ - similar terms, but $4.50 share price.

Anyway, looks like they've had several loans with this company before and were able to get these loans without seeing amazing results.  Odds are the terms of the loan are very favorable for the lender, and must have worked out the previous few times as they keep coming back.

This was someone's take on the yahoo board, which again is mostly garbage but I happen to agree here:
Click to expand...
I don’t see how a convertible at double the present share price could be seen as anything other than a giant proclamation that both sides are very confident in what’s to come. 

 
Last edited by a moderator:
Capella said:
I don’t see how a convertible at double the present share price could be seen as anything other than a giant proclamation that both sides are very confident in what’s to come. 
Click to expand...
Previous conversions were set at $4.5 and $0.50 I think from the same folks.

I post the info to say that the company has been able to get multi-million dollar loans before, without much collateral, on similar terms, which indicates that seeing results likely wasn't part of the deal.

Still, having cash for operations is a big deal, but the 10% terms and conversion to share prices above the current share price seems like it has been previously done by the lender before (if it is indeed the same one - seems likely).

ETA: I do agree that the lender has to expect to be able to capture benefit from the terms of the loan, and if they think the share price conversion price should be $10, then its' reasonable to assume the lender has good reason to believe it reasonable the stock price will be above that during the term of the loan.

But again, they did the same terms before when no results were available...so to assume this means the lender saw results and is bullish is, imo, not consistent with the two previous loans where that couldn't have happened.  They may be bullish for other reasons, but it's unlikely it's because they got a peek at good results.

 
Last edited by a moderator:
You must log in or register to reply here.

Similar threads

wadegarrett
***Official OHIO STATE-MICHIGAN Thread***
40 41 42
Replies
2K
Views
52K
Blue Dot Orange Dot
B
Bob Magaw
*** Official 2011 St. Louis Rams Thread ***
Replies
21
Views
2K
Bob Magaw
Bob Magaw
Couch Potato
Couch Potato 2012 Dynasty Rankings
4 5 6
Replies
293
Views
40K
Spin
Spin

Users who are viewing this thread

Total: 1 (members: 0, guests: 1)
Back
Top