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  "documentTitle": "PeptiDream, Inc. (4587 JP)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson C. Block",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2019-11-07 00:00:00",
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  "notes": "This is a text-heavy research note page from a short-seller report. It uses a 'villain_critique' approach to undermine management credibility.",
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      "text": "We believe a significant number of these partnerships - possibly over half - are close to dormant or dead.",
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      "text": "Despite the “cool” factor of peptides, PeptiDream’s technology is not unique. Nor is the number of pharmaceutical companies with which it has at one time or another signed agreements noteworthy for a drug development platform. We have identified 13 other peptide drug development companies. Six of these companies have drugs in Phase 2 or beyond, compared to PeptiDream, which has failed to get a drug to Phase 2 after 13 years. To illustrate the greatly unrealistic expectations baked into PeptiDream’s share price, the market caps of the five publicly traded peptide drug development companies equal 46% of PeptiDream’s market cap...Combined!",
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      "text": "PeptiDream investor relations confirmed that milestone announcements are key indicators of activity levels in partnerships. He conceded that if there has been no announcement, then generally, the partnership is not active. As shown below, there are 18 partnerships that were announced through the end of 2017. Only nine of them have announced milestones or activity",
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      "text": "In at least six English press releases since November 2018, PeptiDream states that it has established partnerships with 19 leading pharmaceutical companies, and that all of these partnerships are “active and ongoing.” This is misleading at best. We believe a significant number of these partnerships – possibly over half – are close to dormant or dead.",
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      "kind": "paragraph",
      "text": "Even as the Company has struggled to commercialize drugs, Chairman Kiichi Kubota tours Japan ginning up retail investor interest in the stock in every prefecture in Japan.",
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      "text": "The activity level at PeptiDream’s partnerships is key to its ability to succeed. PeptiDream enters into research and development contracts with “Discovery Partners” to identify peptide drug molecules against defined targets... The total value of milestone payments for a product making it all the way from discovery to market has been disclosed by PeptiDream to be in the region of ¥5.4 billion, with low-single-digit royalties on product sales.",
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      "text": "7, 8, 9, 10 footnotes regarding press releases and IR calls.",
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      "text": "Effectively Dead and Dormant Partnerships",
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