GID - GI Dynamics

[budfox26]

Offer details

Offer price
A$1.10 per CHESS Depository Interests or CDIs. (CDIs represent the beneficial interest in shares in a foreign company such as GI Dynamics.) This is equivalent to A$5.50 per share.

Minimum application value
A$2,200 (2,000 CDIs) equivalent to 400 shares

Retail offer close
5pm Friday 26 August 2011

Despatch of holding statements
Friday 2 September 2011

ASX trading commencement
Monday 5 September 2011

ASX ticker
GID



Opinions?

 

[NewTrade]

Re: GID - GI Dynamics IPO

I got this email from Bell Direct earlier today - was quite pleased to see oppertunities pop into my inbox - but I'm just not that kind of person. I have not read too much on this company as of yet, and I don't want to be stuck in a long termer at this price.

If anyone has any opinions on this I would love to hear them also.

My take on it is that besides the long process of getting a treatment into the market - there are several obesity treatments available, none of them definitive treatments. The only thing that may catch my interest is their Diabetes treatment for type 2; there is not that much out there really and treatments for type two are dietary and physical excersize and glucose reducing tablets in some cases, as well as insulin.

Also, I am concerned about the current litigation proceedings brought on by Gore, one of their suppliers. Not the best information to throw out there on your prospectus if you are trying to raise A80m through an IPO. Perhaps they are floating to cover legals? Hehehe

 

[NewTrade]

Re: GID - GI Dynamics IPO

I got this email from Bell Direct earlier today - was quite pleased to see oppertunities pop into my inbox - but I'm just not that kind of person. I have not read too much on this company as of yet, and I don't want to be stuck in a long termer at this price.

If anyone has any opinions on this I would love to hear them also.

My take on it is that besides the long process of getting a treatment into the market - there are several obesity treatments available, none of them definitive treatments. The only thing that may catch my interest is their Diabetes treatment for type 2; there is not that much out there really and treatments for type two are dietary and physical excersize and glucose reducing tablets in some cases, as well as insulin.

Also, I am concerned about the current litigation proceedings brought on by Gore, one of their suppliers. Not the best information to throw out there on your prospectus if you are trying to raise A80m through an IPO. Perhaps they are floating to cover legals? Hehehe

Above all; this company has little history, operating experience, or data for their product. More testing is needed, regardless of their already generated revenue.

I'll wait until I can see improvment.

 

[McLovin]

Re: GID - GI Dynamics IPO

More testing is needed, regardless of their already generated revenue.

There's been no revenue, except for the interest earned on CaB.

 

[NewTrade]

Re: GID - GI Dynamics IPO

There's been no revenue, except for the interest earned on CaB.

Im sure I read on the prospectus that they have generated revenue already through some sales campaign.

 

[McLovin]

Re: GID - GI Dynamics IPO

Im sure I read on the prospectus that they have generated revenue already through some sales campaign.

Check the P&L (well really just L) statement; revenue 0. They do say they have started selling in 4 hospitals in Chile and Europe, but they only received TGA approval in July and have not yet got FDA approval.

 

[ASAP]

GI Dynamics, Inc (GID) is a medical device company headquartered in Lexington, Massachusetts, United States focusing on the development and commercialization of effective, non-surgical treatments targeting the patient populations with type 2 diabetes and obesity. The company’s flagship product is EndoBarrier.

I personally see this company do well in the future due to its niche market and unique product.
So does Johnson-Johnson the medical brand everyone knows, who recently bought over 10% of outstanding shares so they obviously see some value in the company.

Furthermore the most recent announcement have been positive and the future looks bright!!

 

[Country Lad]

Nice 17% increase today. Completed an over subscribed $57mil raising earlier this month and sales increasing. Bell Potter have confirmed their speculative buy rating today which may account for some of the jump.

Cheers
Country Lad

 

[Miner]

GID posted two surprises today - what a coincidence of innocence or sign of opportunities ?/
The Chairman advised that in third quarter they were 33% below expectation (see attached) and the quality of their product being challenged meaning next quarter profitability will be further flogged when it opens in the market.
I am unable to digest the coincidence of two startling news and surely some of them were well known. The ban on the marketing of products did not happen overnight.
Would be interested to hear from others.
Thanks and disclaimer I do hold and until today, was very happy with the paper return until it closed for trading with the attached notice

 

[skc]

GID posted two surprises today - what a coincidence of innocence or sign of opportunities ?/
The Chairman advised that in third quarter they were 33% below expectation (see attached)...

Not 33% below expectation, just 33% below last quarter, which is still terrible. I don't know if there are seasonality in this business... e.g. hospitals tend to order stock around certain times of the year. But considering GID is burning ~$10m a quarter, the impact is less important than the announcement below.

and the quality of their product being challenged meaning next quarter profitability will be further flogged when it opens in the market.

It's a review of its vigilance and reporting system. It's not a recall and looks like it can still be used in trials. It could be something significant, but it says "do not expect resolution of the stop shipment before end of October". If management has a record of under-promise and over-deliver, a 3-4 week stoppage shouldn't be a show stopper.

I don't fully understand the announcement and if I was a holder I'd definitely listen to the briefing call to make more informed decision. Good luck.

 

[Miner]

Not 33% below expectation, just 33% below last quarter, which is still terrible. I don't know if there are seasonality in this business... e.g. hospitals tend to order stock around certain times of the year. But considering GID is burning ~$10m a quarter, the impact is less important than the announcement below.



It's a review of its vigilance and reporting system. It's not a recall and looks like it can still be used in trials. It could be something significant, but it says "do not expect resolution of the stop shipment before end of October". If management has a record of under-promise and over-deliver, a 3-4 week stoppage shouldn't be a show stopper.

I don't fully understand the announcement and if I was a holder I'd definitely listen to the briefing call to make more informed decision. Good luck.

Hi SKC

Please share with your attending the briefing session and interpretation.
I pray that on opening after the trading halt the price does not move south more than a reasonable value as market is too sharp to react on even good news if that was below market expectation.
Keeping fingers crosse and do not mind to be proved wrong

 

[skc]

Hi SKC

Please share with your attending the briefing session and interpretation.
I pray that on opening after the trading halt the price does not move south more than a reasonable value as market is too sharp to react on even good news if that was below market expectation.
Keeping fingers crosse and do not mind to be proved wrong

Sorry miner I didn't attend the briefing session. I just saw it as available according to the company announcement.
I haven't listened to it myself.

But I do know that, in big announcements like these, the briefing can further explain (or confuse) and swing things a lot.

P.S. Correction. The briefing call is scheduled for 6pm EDT (or 9am Tuesday Sydney time). So it hasn't happened yet!

 

[dutchie]

Not doing well this morning.

Down 50% at one stage.

 

[skc]

Sorry miner I didn't attend the briefing session. I just saw it as available according to the company announcement.
I haven't listened to it myself.

But I do know that, in big announcements like these, the briefing can further explain (or confuse) and swing things a lot.

P.S. Correction. The briefing call is scheduled for 6pm EDT (or 9am Tuesday Sydney time). So it hasn't happened yet!

Link to briefing call.
http://www.media-server.com/m/p/ctu23ty5

 

[System]

On July 22nd, 2020, GI Dynamics, Inc (GID) was removed from the ASX's Official List in accordance with Listing Rule 17.11, after security holders resolved to remove GID from the Official List.