Full Press Release Details
Amro Albanna (00:12):
I see one attendee, Jeff.
Hello everybody. I see people are joining right now. Good morning,
good afternoon, good day. I am joined here by Jeff Ramson. We'll do a quick intro here in a second. Just want to make sure that we wait
few seconds for everybody to join. And it looks like everybody has joined so far. So thank you again for joining our Aditxt Weekly updates.
This will probably be a shorter one since we really don't have any any you know any meaningful updates since our last call with Sharokh
and Friedrich. We'll touch on that a little bit. And today Jeff is joining me. So with that, maybe Jeff will do an intro one more time.
And I'm sure most of the people that are joining, they know you by name, they know your background by now, but it's probably a good idea
for us to begin with introduction.
Jeff Ramson (01:27):
Sure, sure. Of course, of course. First of all, good morning everybody.
And yeah, so I'm Jeff Ramson, CEO of PCG Advisory, and I'm running communications for the company currently and a longtime investor and
advocate for Aditxt.
Amro Albanna (01:44):
Great. Thank you Jeff. You know just like we did last time and the
last couple times, we really do, and I personally enjoy getting questions. So there is the q and a button at the bottom and that includes
our team members. Feel free to ask questions. This is a forum. Yes, it is a public forum, but I think it's really important for our team
members to feel free to ask questions for myself to Jeff and we'll take it from there. So with that, Jeff, I know you know maybe we can
begin with overall market condition. I don't mean to put you on the spot, but just overall market condition. And when I'm talking about
market conditions, I'm not talking about tariffs and I'm not talking about the macroeconomics. I'm specifically talking about micro cap
companies because it is near and dear to my heart when we're talking about young companies that are publicly listed that are working on
advancing innovations and that ecosystem has to be healthy in order for those businesses to move forward. And the last couple years, obviously
it is it has been a challenge, however, it's also been an opportunity for companies that are that are advancing serious innovations to
have the ability to navigate through this. And once they come out of it, obviously it's, it's it's a whole different ball game. So from
your just from your point of view, Jeff, can you share with us what's going on with microcaps.
Jeff Ramson (03:05):
Happy to and as you know, we work with many many microcap public companies,
mostly in the biotech life sciences space. And we talk to many companies and we also talked to you know many of the participants in the
industry that are part of the ecosystem, you know in from capital to legal to you know everything along the way. It is still a very, very
difficult time. No doubt for companies. There's a struggle to raise capital, especially in what I would say healthy ways, constructive
ways. There's always toxic capital available, but that's not what, that could be pretty devastating for most companies. So the traditional
or constructive capital markets are pretty quiet right now. I do think we're starting to get a sense that that will turn soon, which which
I do like. I think there's there's two factors. One is market related. I think there's also a bit of concern about some of the, and I'm
not trying to get into anything political, but just some of the policies that you know RFK and the health you know groups in the government
are, there's some there's some there's a little bit of lack of clarity right now, I'll say that. And that's keeping a little bit of, that's
that's that's pretty a bit of damper on money movement at the moment. But I think there's a sense that this is gonna to start to clear
Amro Albanna (04:41):
Yeah, I mean look, I mean obviously it has been a long cycle and maybe
we can bring it back to the context of Aditxt. Last so last week we had our Chief Innovation Officer Shahrokh Shabahang, we had the co-CEO
of Adimune, Dr. Friedrich Kapp, and I see Friedrich actually here online. And we talked about one of our programs, which is the therapeutic
platform that is designed to retrain the immune system. And our goal there is to advance into clinical trials. And that's truly the probably
the you know key inflection point for Adimune. You know beyond Adimune. We have Pearsanta, and I see some of the Pearsanta team members
here joining us, which is focused on early disease detection starting with prostate cancer. We all appreciate the value of early detection,
especially when it comes to cancer. But of course beyond cancer, they're working on endometriosis, talked about neurological monitoring,
which frankly right now there isn't much that's going on at this point.
We're evaluating our options and we have the two pending acquisitions
with Appili and Evofem. So from a micro cap point of view, it really doesn't matter whether you have one program or two programs or three
programs. A company, a young company in the microcap space with an innovation or a program they're working to advance the financial health
becomes key to the success of that program. I would not say it's the key. I would say it's a critical key because I always say money cannot
determine success. Money alone cannot determine success, and that's something that we all have to live by because building a business
takes a lot more than money, but capital market is key. So when we're talking about financial health, you know I kind of divide it up
to two things. It is the ability to address existing obligations and the ability to address future obligations. So addressing existing
obligations, and this is from our own experience as people can see in our public filing, you have you know on our cap table, we have preferred
that at some point a company looks to to clear em up because that is an overhang.
There are warrants and without necessarily getting into all the various
securities. But those are obligations that typically a company would look for. Ways to clear up that overhang. There are payables that
we have, our vendors, our team members, our payroll right, which is certainly a struggle for a company like us or a microcap company.
All these existing financial obligations that we have to meet, but we also have to have the capacity to advance you know all the new activities,
whether it's related to filing with the FDA filing with the European regulatory, advancing, the validation Pearsanta, so on and so forth.
So that is truly the financial health and how I define the financial health in a micro cap world right now. Jeff, you know when we're
trying to raise money, you mentioned you know necessarily I think you use productive or constructive market you know. The good news is
there is still some capital to be raised, but the tough news I would say is obviously it becomes a significant overhead on the company
and the question, can the company make it through to that next milestone before it becomes you know basically you know pretty pretty you
know counterproductive for the company. So maybe you can touch on that a little bit as far as again, from your point of view, from IR
from capital, how do you view the financial health and what are companies trying to do right now?
Jeff Ramson (08:26):
Yeah, so you know as as we're saying you know the the the there's always
some form of capital available. It's a matter of what does it cost and what are the future repercussions of raising that capital. Everybody
wants to raise money from true fundamental investors that believe in the company and are long-term and supportive. And that's always ideal.
That's very difficult right now for for pretty much across the board for microcap companies as we as we mentioned. So I think you know
what we're seeing is we are seeing these challenges and we're seeing a lot of activity. Again, slow down a bit right. I mean, companies
have to make certain decisions and operate certain ways under these under these conditions. They're not they're not ideal for raising
capital. And capital is the lifeblood of of biotech and and life sciences. And as you said, it's not the only factor, but it's it is a
critical factor. Everything costs money and there's there's there's right now there's a shortage of capital or at least a shortage of
the movement of capital in a, so as I said, I think everybody in the ecosystem that I talk to is pushing and and and trying to get things
you know to move, and I think that'll come, but I think people are a little bit a little ambivalent right now.
And not understanding the the the field is not clear right now.
Amro Albanna (09:54):
That is yeah, that is for sure. I mean that is that is for sure. You
know you may have a plane, you may have a business, but you have to have the fuel and you said it's the bloodline and it is truly you
have to have the fuel. So that is again, that really is kinda the process that we're all going through. And you know the key, and I believe
the key is not just survival and to our team members here that have been frankly through it with us and other partners, the key is not
just survival. We cannot do this just to survive. We have to do we have to survive while we're advancing the business forward. So with
Adimune, again, just as a refresher, I mean Adimune is a tremendous therapeutic platform. Preclinical, preclinical still, but the team
has continued to keep it moving forward in terms of product availability, in terms of planning for FDA filing in terms of planning for
And that becomes a key inflection point, which is I believe gonna be
the securing the approval if we secure the approval to begin human trials with Pearsanta. Pearsanta is oriented around monitoring and
diagnostics and the key for Pearsanta is validation and going commercial. And the team knows that, and I know that the team is doing everything
possible they can with with very limited resources to keep moving it forward. And and those are you know those are the current subsidiaries
other than Adivue with the neurological monitoring as I mentioned earlier. So that is really our update, and again, I do see you know
solid attendance here. And do feel free our team outside our company, feel free to ask any questions by clicking that q and a button at
the bottom. Anything else? Maybe if we you know we'll wait for a question or two here. Jeff, anything else that we need to bring up that
you can think of right now? Any questions that you would have for A CEO or for a company? And I'll even answer em, on behalf of some
of our team members that I see joining us, something that somebody in the public would like to know about Aditxt.
Jeff Ramson (12:09):
I would say you know I would say, I guess one thing I would want to
know is, well, how are you managing through this? I mean, I know you you know it's it's it's it's challenging, right? So how do you see
it like in the sense of you've got to keep the business going, you've got to keep people their morale up through some of these difficult
times. I mean, how do you handle that kind of a challenge? You know what what I know I'm sorry, I know part of it at the core of it is
communication, right? I think that's a big part of it, but maybe just from a personal experience, how are you how are you managing?