How PBIO Can Get Well (Swell) In One Fell Swoop
Ming isn't sure what a fell swoop is but he's convinced PBIO stock can easily hit double digits with alacrity. All PBIO needs do is listen to shareholder Ming as follows;
In the November 2nd press release, a joint study by PBIO and scientists at Lonza Biologics, the global leader in contract biologics manufacturing has shown the BaroFold protein folding and refolding technology is more efficient, less costly and more environmentally sound.
Sell BaroFold to Lonza. What can that bring? $300MM?, $500MM? Let's err on the side of caution even though in the press release, Ric averred that it could eventually reach $100MM in revenue. Let's just say it only brings $50MM. After all, it takes a lot of capital and effort to gear up even to meet Lonza's needs alone.
Felicitously, PBIO's net operating losses to 2021 of $31,026,899 taken from that year's 10K on page F17 and PBIO's losses for the first nine months of 2023 taken from the third quarter 10Q, total $50,437,381 meaning no federal tax even were our basis in BaroFold were to be zero.
Now, of the $31 some odd million in debt, about half is due an individual whom Ming understands would rather convert to common stock at $2.50 a share which is his right, should the share price exceed that amount.
As of 9/30 there was, as per page one of the 10Q, 21,726,433 outstanding. Add 6MM shares for that individual's convert, (15MM/2.50) and there would then exist about 28MM shares. Take the $50MM for BaroFold less the remaining $16MM debt and PBIO has a clean balance sheet with $34MM cash or $1.20 a share based on a very modest $50MM for BaroFold.
For those who have yet to nod off, now comes the best part that will cause PBIO stock to really levitate. Declare a cash dividend and see how likely it would be that your short sellers of naked shares would pony up (technical financial term) that dividend rather than to close out their short positions causing the price to levitate.
All Ming asks in return for this revelation, is a statue of him to be erected outside PBIO Corporate Headquarters striking a heroic pose while astride a noble steed. Perhaps showing the doughty Ming brandishing a sword might be a tad over the top but it would be nice.