May you share any thoughts about Insulin Insights? I was doing a little research and I have the same concern than @AduSubramanian about the typology of the product, changing from diagnosis to adjustment treatment. There is also competition in the segment, smart insulin pens, not the same product but same target and result (by the way, I have a position on Semler, but I'm always trying to destroy the thesis)
Hi Lubian, sorry it took me a while to answer you. I basically agree with you both. It is not what we were expecting but let's give it time to see how it performs. I would try also to contextualise the size of the investment they did there, around $1m if I remember right. My major concern still resides with capital allocation.
Thanks for your time, it's nice to have somebody to comment Semler. They already sold the position on Mellitushealth to Eric Semler, as they reported on10-k:
"In December 2020, we transferred and sold the shares of preferred stock of a private company along with the warrants to purchase common stock we had acquired from such company in October 2020, to Eric Semler, one of our significant stockholders, for a cash purchase price of $1.9 million. We had acquired the shares of preferred stock in November 2020 upon conversion of the $1.5 million convertible promissory note we acquired from such private company in October 2020."
They have now rigth to distribution until 2026 and 2M$ prepayed licenses. Agree, capital allocation is always a concern, but for me main problem is their communication skills, I'm wondering if they are pirates or just bad timmers.
Hi, Teik. May I ask why you think so?? As far as I’ve concerned Eric Semler is not in the management. Is there any executive with position in Mellithus??
Really enjoy the work you are doing here.
Is there any way you could add the slides as a PDF as well? The formatting here on Substack doesn't lend well to slide formats.
Thanks Dilon for your words. Sure, I will add a link to the full PDF from now on and edit the current ones to add them. Thanks for the feedback!
I just added the links to the PDFs
May you share any thoughts about Insulin Insights? I was doing a little research and I have the same concern than @AduSubramanian about the typology of the product, changing from diagnosis to adjustment treatment. There is also competition in the segment, smart insulin pens, not the same product but same target and result (by the way, I have a position on Semler, but I'm always trying to destroy the thesis)
Hi Lubian, sorry it took me a while to answer you. I basically agree with you both. It is not what we were expecting but let's give it time to see how it performs. I would try also to contextualise the size of the investment they did there, around $1m if I remember right. My major concern still resides with capital allocation.
Thanks for your time, it's nice to have somebody to comment Semler. They already sold the position on Mellitushealth to Eric Semler, as they reported on10-k:
"In December 2020, we transferred and sold the shares of preferred stock of a private company along with the warrants to purchase common stock we had acquired from such company in October 2020, to Eric Semler, one of our significant stockholders, for a cash purchase price of $1.9 million. We had acquired the shares of preferred stock in November 2020 upon conversion of the $1.5 million convertible promissory note we acquired from such private company in October 2020."
They have now rigth to distribution until 2026 and 2M$ prepayed licenses. Agree, capital allocation is always a concern, but for me main problem is their communication skills, I'm wondering if they are pirates or just bad timmers.
Limited communication skills you mean :)
Let's see after Q1. I will post an update then and we can discuss more how things are moving. Best Lubian!
another perspective is management has skin in the game on the new product
Hi, Teik. May I ask why you think so?? As far as I’ve concerned Eric Semler is not in the management. Is there any executive with position in Mellithus??
Hi Lubian,
You may read the FY2021-10K under Private Company Equity Transfer and Long term Investment. Eric bought the shares.