Jul. 19 at 1:59 AM
$OTLK Outlook Therapeutics (OTLK) eventually will generates more than
$1 billion in annual revenue, a buyout price would depend on several factors, including profit margins, growth, patent life, competition, and the terms of any commercial partnership. There isn’t a fixed formula, but acquisitions of commercial biotech companies are often valued as a multiple of annual sales.
OTLK had about 160 million shares outstanding, those enterprise values would translate roughly to:
3B valuation: about
$19/share
5B valuation: about
$31/share
7B valuation: about
$44/share
10B valuation: about
$62/share
I am sticking with 5-7 Billions !
