Inventiva SA ADR (IVA) has disclosed a new risk, in the Share Price & Shareholder Rights category.
Inventiva SA ADR’s decision on August 30, 2023, to issue Royalty Certificates could potentially dilute future earnings from lanifibranor sales, as these certificates grant investors a 2% annual royalty. This financial commitment not only curtails Inventiva’s prospective revenue but also imposes a substantial repurchase cost that could strain the company’s cash reserves. Such fiscal obligations may devalue Inventiva’s market standing and adversely impact its overall financial health, posing a significant risk to both its business stability and shareholder returns.
The average IVA stock price target is $18.25, implying 401.37% upside potential.
To learn more about Inventiva SA ADR’s risk factors, click here.
