I’m just trying to organize my thoughts (not easy at my age) and “line up the ducks” from GAC’s excellent notes from Bloom Burton and all of the subsequent posts.

So Bloom Burton was a bust or at least a non-event with nothing to offer in terms of financing (press release by RVX Apr 17, 2018 re Bloom & Burton preliminary prospectus) or new insights scientifically. I certainly did not expect any financing to happen there.

However, a significant and perhaps telling theme/tone GAC picked on up was as follows;

GAC - “Firstly Don indicated that the closing of said loan (3rd Eye) was imminent.... from what he said I like the chances for news on the loan either tomorrow (Friday May 4th) or Monday.  I mentioned that when the loan came due that the IP would again be encumbered.  He stressed that the loan WOULD NOT becoming due before the top line BETonMACE data comes out....I don't recall the exact words or turns of phrase, but my understanding was this.....”

The implication that everyone picked up on is top lines pre May 4th or the final closing date, 2019 and the top lines IMHO must be available much sooner if further financing is contingent on successful top lines.

This seems to suggest that if the trial is to be extended to a larger sample size that top lines will still be available long enough before the loan due date in order to pay the loan out and continue the trial. I think it is possible for the committee to recommend a larger sample for the trial in order to generate statistical significance for the subgroups -  abiraterone and rosuvastatin. This could be very important if there are significant differences between the groups. Remember that RVX has the aberaterone + rosuvastatin patent.

3rd Eye Capital – post by golfyeti – Apr 18, 2018 at 5:09 pm - They must also keep $5 M in cash at all times, leaving only $25 M usable, then a payment of $900,000 upon the receipt of loan proceeds, leaving only $24.1 M usable.  Then 10% interest $250,000/mo or $3,000,000 for the year, leaving only $21.1 M usable.  Then an exit fee of $600,000 leaving only $20.5 M usuable.  (excellent analysis golfyeti – thanks)

So if finalized this week Don has approx $20 million to play with on a burn rate of $3.3 million a month until the magic drop to $1 million a month (how does that happen with Fabry, CKD, etc happening???). So at the current burn rate these funds take RVX about 6 months or to the end of October 2018. This does not take us to the top line results. Hopefully this will at least satisfy the TSX on May 14th so that RVX remains listed at least until the top lines.

Post – Bloom Burton prospectus - G1945V

Apr 16 2018

RE:RE:RE:Did San Fran promise you a Best Efforts financing?

If you read the preliminary prospectus it's clear that DM needs approx $70M so this will top up the $30M.

"The Corporation anticipates that the proceeds of the Minimum Offering will enable the Corporation to fund costs associated with the BETonMACE trial, including further dosing of patients, for a period of at least two months, and to fund chemistry, manufacturing and control (“CMC”) costs relating to apabetalone for a period of at least six months. The net proceeds of the Maximum Offering would enable the Corporation to fund costs associated with BETonMACE for a period of at least five months and CMC costs for a period of at least six months.

In addition to the proceeds of the Minimum Offering, the Corporation estimates that between approximately $60 and $70 million in incremental funding (net of offering expenses) will be required to fund Resverlogix’s anticipated pace of development and operations through the end of the BETonMACE trial and potentially other clinical trials. The Corporation anticipates incurring indebtedness pursuant to the Secured Loan and raising additional capital from alternate sources to fund these activities. If significant funding is not available on a timely basis, the Corporation will need to reduce its development plan in order to continue as a going concern. See “Risk Factors”."

Read more at http://www.stockhouse.com/companies/bullboard?symbol=t.rvx&postid=27898026#Rol2AzBOm0rTkIkm.99

G1945V

My question – Do we know the status of this Bloom Burton financing? For example, GAC’s notes below suggest perhaps the BB financing is post top lines or BB happens to get to the top line and then another financing happens.

GAC’s notes – (continuing from above at GAC’s original paragraph) “When the top line data comes out Don seems to be expecting to do a more traditional equity raise with the PPS substantially higher, and I "think" he mentioned a figure somewhere around $5....and then qualified that by saying that it could be even higher.  (blah blah blah…Easter Bunny, Santa, etc)

Things are not adding up here at least for me on the business side. If the BB financing is going to kick in at a successful SSRA then things are making some sense.

Tada, your post on the SSRA was excellent. My simple take is as follows;

1.      If MACE test < control trial stops unless evidence of positive subgroup effects.

2.      If Mace test = control…same as above.

3.      If MACE test > control then does the data at n=188 adjudicated MACE events support/indicate at least a 95% confidence level at 250 events.

4.      If MACE test > control at 188 adjudicated events and is already at 95% significance then great and what about the subgroups?

I guess the bottom line is we will only hear the recommendation and not the details. I’d like option 4 because at n=250 the significance could hit 99% (p=1%). No matter what it seems to me that the SSRA implies efficacy (or lack of).

GLTA – Exciting times indeed!

Toinv