Redeye provides its thoughts on the rights issue.

Vitrolife

Hansa Biopharma

Xvivo Perfusion

Moberg Pharma

Cantargia

CellaVision

Alligator Bioscience

* The company is dependent on capital markets and key individuals. 

* The programmes are high-risk due to binary outcomes of clinical trials.

* Having a patented product on a regulated market usually means stable incomes once approved and running.

* Possibility of receiving upfront, milestone payments and royalties without further investments on the part of the company.

* Patents provide a clear moat.

* Alligator Bioscience lacks profitability across all measured metrics, including gross profit margin, operating margin, ROE, and ROA.
* The company shows no consistent revenue or earnings growth over the past five years, indicating challenges in commercializing its products or services.
* Financial health appears weak, with insufficient current assets to cover liabilities and a likely need to raise capital within 12 months.
* There's no evidence of positive cash flow or near-term prospects for achieving sustainable cash flow positivity, raising concerns about long-term viability.
* The company's financial situation suggests high risk, with no clear path to profitability or financial stability in the immediate future.

* Alligator Bioscience is not burdened by dividend obligations, allowing it to reinvest all available capital into research and development.
* The company's lack of debt-related metrics indicates it may have a clean balance sheet, potentially providing financial flexibility.

* Limited management tenure: Only one person in the senior team has a tenure exceeding five years, potentially impacting institutional knowledge and continuity.
* Lack of revenue and returns: The company currently has no income, limiting its ability to generate returns on investments or pay dividends.
* CEO's limited company-specific experience: The CEO has worked at Alligator for less than five years, potentially impacting deep understanding of the business.
* Unsuccessful capital raising: The last rights issue was not fully subscribed, indicating potential investor skepticism or financial challenges.
* Absence of founder involvement: The original founder is no longer involved in the business, potentially impacting long-term vision and corporate culture.

* Strong industry expertise: The CEO brings over 20 years of international experience in pharma and biotech, enhancing the company's strategic positioning and operational capabilities.
* Lean, decentralized organization: Alligator promotes self-direction and accountability, fostering innovation and adaptability within the company.
* Consistent strategy execution: Management has demonstrated ability to deliver on promises, exemplified by the early completion of the mitazalimab clinical program.
* Transparent investor communication: The company provides timely, direct business updates and maintains consistent focus on long-term value creation.
* Significant insider ownership: With insiders holding over 30% of shares, there's strong alignment between management and shareholder interests.