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Biotech / Medical : GUMM - Eliminate the Common Cold
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To: Mike M who wrote (2595)8/10/2000 1:35:42 AM
From: DanZ   of 5582
 
Mike,

I agree that today's press release means that publication or release of the preventative clinical study will occur soon. I also think that Dr. Hirt's therapeutic study will be published soon. For obvious reasons Gum Tech wants to be perceived as a drug delivery company when the studies are released or published. Gum Tech is not a "gum" company any more, so the changes outlined in the press release make perfect sense. The changes will tie all their business centers together under one well organized umbrella. Currently they have Gel Tech, a functional gum business, and a joint venture for non-tobacco nicotine products. The common thread between all these businesses is they all deal with some type of delivery system for drugs. Once these changes are fully implemented, I think that the company will have a more cohesive message to take to analysts, brokers, and investors, and this should improve shareholder value. If you read between the lines, I think that the new Board members imply that a joint venture for Gel Tech will occur in the near future as well. Gum Tech's stated strategy is to partner with large companies in all their business sectors, so it makes sense that they would team Gel Tech up with a strong partner. My guess is that they will partner with a pharmaceutical company that already sells into the cough and cold market, and that management employees from that company will join Gum Tech's Board.
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