Thursday, May 3, 2007

Two take-home-messages from ASPV CC

1. If a new partner/deal cannot be found, company will return the cash as dividend to shareholder
2. Board member's bonus is decided by the future earning growth, which is a new deal.

basically it says, we are working on the new deal, and don't have it yet, and all insider's interest is linked directly with shareholder's, in case the worst happens(no deal and CellCept expires), sharesholders get the cash they amassed on CellCept, which I already pointed out the current cash + DCF of projected earning before generic competitors show up>= current stock price.

A high uncertainty, low capital risk holder in my book.

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