Loan, Renal, Fabry's
posted on
Aug 28, 2017 10:04PM
A few people have mentioned the fact that the LoC maintenance fee has increased. What this means is that Eastern is charging 4+MM dollars Cdn to continue guaranteeing the loan until Dec 26. Seems reasonable to me since they didn't receive any additional warrants for the extension and I believe 1 to 1.5MM of their warrants expired out of the money today. As long as a deal comes through and pays off the loan this would be anti-dilutive at some increased share price point.
I find it very disappointing that management has failed to get the renal trial moving forward in a timely fashion. To me there is a clear indication of the potential of Apabetalone for CKD and I thought the renal trial was supposed to be relatively cheap and is definitely relatively short. A potentially real CKD therapeutic moving along in trials could be very valuable and a real saviour if BetOnMace had a primary outcome problem. I'm sure this potential is not lost on Eastern, or the other 7 ready for clinic molecules when Eastern looks at the potential of their collateral. Mangement can still succeed with BetOnMace success but their risk management strategy is lousy IMO
I thought the Fabry's trial was being paid for by outside parties but that being said I don't think management has officially announces anything in this regard.