Well. It’s now 2025 and January. Does the BBS matter need to be resolved by the end of January, or how much leeway does the financial situation give?
I’ve been thinking it’s either an exit or a partnership agreement and an offering. If an exit is on the table, will ConAlliance apparently organize a tender? What kind of exit price might there be for the BBS package? Let’s add a price of 60 million, or 2€ per share, just pulled out of a hat?? Can anyone ponder this? @Antti_Siltanen, is there any data or info on this?
Quite impossible to estimate, the current market value is so low that if someone gets interested and sees potential in this, the acquisition premium could be even thousands of %. In any case, I personally don’t believe in bankruptcy. Bankruptcy is, however, quite rare for listed companies. Now, employees have largely been laid off and costs are low. Money will be found from somewhere.
Speculating about two euros per share and premiums of thousands of percent certainly sounds good, but those might not be realistic figures. It would be good if one could get 0.20 euros per share in the near future; many investors would probably be very satisfied. I also believe that the work will continue, but the timeline for its progress and in whose hands it is, that too is a mystery.
It’s difficult to give any truly sensible estimate on this… As one example, Ossdsign acquired Sirakoss in 2020 for 11 MUSD. Sirakoss already had FDA approval at that time, and Ossdsign was able to commercialize the product directly in the most attractive US markets and with the largest share of the market in the spine. The deal also took place during a time of significantly looser money than today. BBS is targeting the less attractive EU markets, the regulatory process is still ongoing for a long time and its outcome is uncertain, presumably a smaller market (instead of the spine, BBS presumably in the ankle and foot area). So, in summary, the buyer would face burning cash and would have to deal with the debts mentioned by Moneywalker.
Of course, the market value is now so low that in the best case, the percentage premium could be significant. But I also think there’s a high probability that no buyer will be found. However, for someone wanting to enter the Bone Graft market, there are likely alternative acquisition targets available.
Currently, Sirakoss’s product goes by the name Ossdsign Catalyst, and according to their own calculations, it sold for 11-12 MEUR in the US last year, with triple-digit percentage growth. A company like this can be bought on the stock exchange for about 80 million euros.
Pfizer sold its BMP development asset to Bioventus. Pfizer received an upfront payment for this, and the agreement also included milestone payments and royalties from future sales, that is, if product development is successful. I’d guess that Pfizer received a quite substantial upfront payment even though it was only an asset.
If this is compared to BBS, Artebone is already a finished product with excellent results in terms of efficacy and safety, both in two animal studies and in a clinical trial conducted on humans. Although the patient count is known to be small in this trial, the results cannot be disputed.
Furthermore, BBS has its own production-ready factory, which is rare these days. As I recall, CEO Rakowski also stated this when he joined the company.
In addition to Artebone Paste, a number of other product versions can also be developed, including for the spine, so there is potential for the future as well.
In my opinion, it’s a good opportunity for a major player to acquire this.
Could this foreign ownership, however, be about Riverfort’s loans being converted into shares? This has been done for quite some time and extensively. And that dilution tends to occur…
BBS’s website seems to have updated its owner list until the end of 2024. Ykköslääkärit Oy has been added as a new entry. Or was it already on the list? I don’t recall it being there.
It’s now almost 2 months since BBS signed an agreement with ConAlliance. All possible options regarding further financing are being investigated. This certainly includes an exit option.
Surely enough time has passed now that one can expect an announcement any day. Let’s hope for a good one.
Bioretec has already received its CE approval, but the silence at BBS just continues. The Financial Supervisory Authority should also intervene in the company’s current disclosure model in the form of fines. Analysts too could strictly demand transparency from the company.
The situation regarding the Con Alliance agreement should now be disclosed, if there is anything to disclose at all? I think that the stubborn board members are in a stalemate with ConAlliance and the solutions it may have found.
The entire board should be replaced at the next general meeting, if it is held at all.
Nothing has been said about the duration of the measures taken due to the change negotiations, so they continue indefinitely (over 3 months). Soon they will apparently be changed into layoffs?
Once again, it is stated here that we are waiting for that big announcement to come. It’s the third month of waiting.
Adding here as an edit a link to an article in the Reisjärvi local newspaper, which was published after BBS’s CE application was rejected. Apparently, the CEO of BBS was interviewed in the article. No information is available, as the article is unfortunately behind a paywall.
The point here is that such a public appearance, even if also on video, should have been directed to all shareholders in such a significant situation.
That newspaper article is also over two weeks old. Apparently, an attempt was made to calm the people of Reisjärvi, because the municipality is a big investor.
In addition, some of the founders are from Reisjärvi or nearby, dare one go on a skiing holiday to their hometown when there is no light to bring?
BBS-Bioactive Bone Substitutes Oyj | Company Announcement | 10.02.2025 at 09:00:00 EET
BBS-Bioactive Bone Substitutes Oyj: Status update on measures taken to secure the company’s financial situation and operations
The company’s Board of Directors continues its active measures to stabilize the company’s financial situation and business operations. In accordance with the cooperation agreement with ConAlliance GmbH (https://www.conalliance.com/), the company is evaluating strategic financing solutions, with the primary option being the sale of the business or shares.
To secure short-term financing and sufficient working capital during this process, the Board of Directors is negotiating with selected current shareholders to arrange additional financing.
BBS-Bioactive Bone Substitutes Oyj
Board of Directors
