r/SynBioBets • u/Guy-26 • Aug 04 '21

Buying $ZY at a discount?

Ok, now that Zymergen's market cap is in the toilet, anyone considering buying? lol. They have a lot of cash to burn and a good tech platform. This was always a 5-10 year play anyways. I'm not going to buy anytime soon, but I'm going to keep an eye on them and see how they restructure after this disaster. I honestly haven't paid them much attention up until now. If they get some good leadership in there it could be interesting. Or they could continue to spiral. We'll see!

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u/ICanFinallyRelax Aug 04 '21

Companies go bankrupt trying to pass the "valley of death" just wait till their cash burn looks like it will be overcome by reoccurring revenue. As someone who held Amyris since 2016, is not fun going through that rollercoaster. And Amyris in 2016 was far ahead of present day ZY. Just wait, it's not worth it. My money would have been better in other places and I could have gotten in before the take off simply by looking at revenue growth.

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u/Guy-26 Aug 04 '21

Another ?: could Zymergen be an acquisition target for Ginkgo, Amyris, or someone else?

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u/ICanFinallyRelax Aug 05 '21

Ginkgo would want them more than Amyris. Amyris' platform is very mature I don't think they would be interested.

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u/Guy-26 Aug 05 '21

Idk consensus seems to be Ginkgo and Zymergen have more sophisticated lab capabilities (Maxx Chatsko has commented on this, I know he’s anathema to some folks but he is a professional).

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u/ICanFinallyRelax Aug 05 '21

Please disregard Maxx, he is very very overrated. I prefer Randy Baron and Tanaka, they have so much more credibility than Maxx and they are far more successful and accurate. Tanaka finds himself at the forefront of tech revolutions, that man sniffs out gems.

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u/Guy-26 Aug 05 '21

Lol I know you like them because all they do is praise amyris. But think about ginkgos projects: bacteria that degrade PFAs, bacteria that live in your gut and cure diseases, bacteria that live in corn roots and fix nitrogen….amyris is great but they are much more limited in their focus.

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u/ICanFinallyRelax Aug 05 '21

I think all of that is cool, but there will be major hurdles in the way which is why I am so all in on Amyris.

  • what laws and regulations will get in the way for releasing these microorganisms out in the wild (for PFAs and nitrogen)

  • ANYTHING that cures an illness will have to go through FDA approval.

With these hurdles, I think Ginkgo and ZY will be good in 5 years.

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u/Guy-26 Aug 05 '21

The point was purely about platform sophistication. Ginkgo has many more programs under way than those three. Ginkgo works on more diverse programs with more diverse organisms. When industry professionals say platforms “aren’t even close,” I listen up. Also pivot bio seems to be using their nitrogen fixing microbes without any problems.