MLS Billion dollars to 13.5 Million

[Pathbusiness]

From a billion dollars into it, sold for $175 mil, got reduced to $13.5 Million when papers were signed. I would have left hat 13.5 on the table too if I were the seller. Largest anatomic pathology lab in the country.

https://www.miraca.com/resources/file/pdf/en/20171120_news_1_e.pdf

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[LADoc00]

bwahahaha I predicted this coming a decade ago. Pump and dump start up bros on Sand Hill Rd win again.

 

[Pathbusiness]

They must have microscopes worth more than $13.5 million!
LAdoc00 which insurance cuts are they talking about which we don't know about, that would drop the value of a company to $13.5 million?

 

[Pathbusiness]

bwahahaha I predicted this coming a decade ago. Pump and dump start up bros on Sand Hill Rd win again.

This one is not from San Hill though. Not big enough for that street.

 

[LADoc00]

They must have microscopes worth more than $13.5 million!
LAdoc00 which insurance cuts are they talking about which we don't know about, that would drop the value of a company to $13.5 million?

No clue what specific cuts they refer to, but the combo of the complete gutting of the prostate bx scene, the sh-tshow of the constant TC 88305 cuts as well as the eventual bundling of the entire TC element with the procedure reimbursement will trainwreck the entire OP Path biopsy landscape within 5 years. I would not put ANY $$$ into TC path right now aside from molecular stuff like FISH, Next Gen Seq...

Im sure someone will necro my post here in a half decade to prove me right.

There are other green lab avenues (far afield though) that look so incredibly tasty I can barely contain myself these days. But for biz purposes I cannot elaborate further.

 

[Pathbusiness]

No clue what specific cuts they refer to, but the combo of the complete gutting of the prostate bx scene, the sh-tshow of the constant TC 88305 cuts as well as the eventual bundling of the entire TC element with the procedure reimbursement will trainwreck the entire OP Path biopsy landscape within 5 years. I would not put ANY $$$ into TC path right now aside from molecular stuff like FISH, Next Gen Seq...

Im sure someone will necro my post here in a half decade to prove me right.

There are other green lab avenues (far afield though) that look so incredibly tasty I can barely contain myself these days. But for biz purposes I cannot elaborate further.

I think there is more to the story than they are telling.

 

[AZpath]

I looked at the deal it is real hard to understand.
I think Miraca is keeping 19% of the stock ? Also they gets to keep a CEO on the board possible the CFO as employee?

This sound like a bad deal if too many strings are attached. Also, do these private equity folks even understand the business?
The feds or insurances could crack down more on them any time.

 

[Pathbusiness]

I looked at the deal it is real hard to understand.
I think Miraca is keeping 19% of the stock ? Also they gets to keep a CEO on the board possible the CFO as employee?

This sound like a bad deal if too many strings are attached. Also, do these private equity folks even understand the business?
The feds or insurances could crack down more on them any time.[/QUOT
That was when MLS was part of MHD. After the stock transfer they don't own a single stock(except 19% common stock subscription). New CEO and management will be from Avista. Anyone who has ventured into anatomic pathology has been burned without an exception.

 

[AZpath]

Now I understand the deal.

Avista may be throwing their money away. A lot skeletons left in this closet.

The private lab market should of been fairly profitable even with the TC cuts.
Boswick and Miraca show pigs get butchered.

 

[Pathbusiness]

Thirteen million won't buy you Miraca, unless you are buying some big ass liability with it. They have furniture worth more than that. Yearly revenue of more than 270 mil and other assets.
A PE firm won't buy anything with a liability, esp in medical field. That means only one thing!!