PAVmed Inc.

each nurse per day. Each nurse will be deployed to one of three types of venues. First, in exam rooms, leased from a partner physician. Second, once there is sufficient volume, we will consider setting up our own freestanding Easter Guard testing centers and local house where the economics can support them. Finally, we will seek joint ventures with well-known national laboratory testing companies, as well as national pharmacy companies with many clinics to establish Easter check testing capacity at their facilities using our staff or training there. In addition to ESA check operators, the program will require a physician to evaluate self-referring patients and order an ESA guard if clinically indicated. This will be done via telemedicine or in-office visits by a physician who does so full-time or within a broader practice. The physician will bill for these visits. Of course, this all will not happen overnight, but we do believe that we need to start the billing process now. Our plan is to start with a pilot program this spring in one major metropolitan area. We will locate one of our new clinical specialists one or two days a week in a leased exam room at a local physician's office. We will then launch a local direct-to-consumer marketing campaign using digital, radio, billboard, and a cost-effective TV advertising. Patients who respond will be evaluated by our partner physician, who will order e-cigar testing if clinically indicated. Our nurse will then perform the e-cigar check procedure and send it for e-cigar testing. If the test comes back positive, The physician will refer the patient to a partner gastroenterologist for confirmatory endoscopy and long-term follow-up. Once we have established geographic coverage in a locale, we'll proceed with another separate sales and marketing channel directly targeting primary care physicians. We will use a hybrid sales model staffed with personnel with experience calling on primary care physicians, such as pharmaceutical reps. We may also seek joint ventures with a pharmaceutical company to market to primary care physicians, as Exact Sciences did with Pfizer with great success. So speaking of exact sciences, I would like to now introduce you to Stan Lapidus. Stan is a medical diagnostics pioneer and prominent industry advisor whose company has created billions of dollars of value for their investors. I was introduced to Stan by acclaimed cancer geneticist and Lucid partner, Dr. Sandy Markowitz. I learned that Stan had founded and led two of the apparently only three successful cancer detection startup companies in history. Although he spoke with complete humility, my first thought was the classic Muhammad Ali quote, it ain't bragging if it's true. My next thought was that I had to convince this legendary figure to help us make Lucid Diagnostics the next such company. Apparently, I made my case, and Stan has been an invaluable resource as Lucid's strategic advisor for the past seven months. Stan's first company, SciTech, revolutionized early detection of cervical cancer, preventing countless deaths through its FinPREP pap test, which he invented. Hologic acquired SciTech for over $6 billion. Stan went on to found and lead Exact Sciences, whose Cologuard test revolutionized early detection in colon cancer. Exact is arguably the most successful startup company in the history of the diagnostics industry and has reached a market cap of $25 billion under Kevin Conroy's leadership since 2009. My team and I were students of the exact story and its value in selection milestones long before Stan joined us. The similarities in the core technologies are obvious even to the casual observer. Esagard and Coligard are both molecular diagnostics screening alternatives to endoscopy, targeting large populations at risk for gastrointestinal cancer and with similarly massive market opportunity. In fact, where the stories diverge, the major differences favor Esagard. Isogard faces certain lower hurdles compared to what Cologuard faces. For example, compared to Cologuard, Isogard faces minimal competition for endoscopy, is positively aligned with the interests of gastroenterologists, and requires smaller, less expensive clinical trials. So let me now pass the mic over to Stan to offer you his perspective on our efforts.

Good morning, all. Thanks, Lishan. It's good to be here. I look forward to sharing my perspectives on Lucid and on Isogard. Before I start with regard to financial disclosure, Lucid pays me a modest monthly retainer for my time. I hold no equity in Lucid. I did purchase a small number of PavMed shares in the open market some time ago. As Lisha noted, my major professional quest has been to save lives through early pre-cancer detection. Although my companies have been commercially successful, I'm most proud of the lives that have been saved by Psychic and by Xacto. Lishan and Lucid, the Lucid team, are on the same quest. This team is quite impressive. They're real pros who have a deep understanding of the opportunity, the history, and the challenges. Lucid's a great story. It took me about a millisecond to understand the implications of what Lucid is doing. Its potential to be big and important, actually historically important, is the reason I've linked Lucid linked elbows with Lucid. I believe this is the best time in my 30-something years in the industry to be doing what Lucid is doing. Cytic was a success, Exact was a success, and I believe the next company that can catch biological changes before they become malignant is Lucid. Exact underwent explosive growth because it could keep patients from getting colorectal cancer, same with Cytic and cervical cancer. In these two cancers, cancers of the cervix and colon, the goal of cancer prevention was achieved. Cancer prevention, on the other hand, for example, in breast cancer, has not been achieved. Only early detection has been achieved. This is not a small accomplishment, but ask any woman who has undergone surgery, radiation, and chemo if she would be better off having never had a malignant tumor in the first place. Cancer prevention in the prostate has not been achieved. Again, early detection has, but ask any man who has undergone a prostatectomy if he'd have been better off by not having had a malignant tumor in the first place. In contrast, cancer prevention has been achieved in the cervix and the colon. The attendant morbidity and the attendant expense incurred in treating precancerous lesions is much lower than treating early cancer. The optimum cancer detection strategy is preventing cancer. Lucid is now doing the same in the esophagus. Cancer prevention through pre-cancer detection. I led Cytic, I led Exact, and now I'm part of Lucid because I believe cancer prevention is the way to have greatest impact. Let me comment on the decision to spin off Lucid as a standalone public company, which Lishan is announcing for the first time today. I've been advocating for this strategy since I joined Lucid as a strategic advisor last summer. I've long believed that Lucid's an undervalued asset within PathMed and would prosper as a standalone company. Lishan and I have regularly conferred about the appropriate time and conditions for a successful Lucid spinoff. I believe the time is now. Time is now for early cancer detection companies to make their move. There has never been an equity market more receptive to the message. There has never been an FDA more favorably inclined to consider early detection. This is the exact opposite of what I dealt with at CITIC when the FDA and organized medicine were borderline hostile to anything that had to do with early cancer detection. This would be in the late 1980s. I'm a true believer in the e-cigar technology. Sandy Markowitz, whose lab developed Esagard, has been a friend and colleague for over two decades. In fact, we collaborated extensively during the early exact days. What Sandy and his colleagues have developed addresses a critical need. Let me be as plainly spoken as I can. Esophageal cancer is a death sentence in over 80% of people in whom it is diagnosed. You get it and you die. The question is when. It hardly matters what your doctors do. The outcome is foregone. The prognosis is grim, in part because unlike most cancers, finding even earlier stage esophageal cancer does not reduce our mortality by very much. Finding precancer in the esophagus, however, can save the life of a patient. Precancerous esophageal dysplasia is entirely treatable. It's curable. It is not just delaying the inevitable. If you ablate the dysplastic esophagus, you cure the patient. Because of the effectiveness of early intervention, no one should die from esophageal cancer. But unfortunately, people do die because upper GI endoscopy has failed as an early detection tool at a population level. The E-Cigar value proposition is very compelling. The market is large, and it has no established competitors. We're looking for pre-cancer in the esophagus while everyone else is looking for early cancer in blood. So Exact is not a competitor. Grail is not a competitor. Freenome is not a competitor. And Gardent is not a competitor. The liquid biopsy companies, in fact, are all surprisingly similar. They're common, apparently multi-billion dollar messages. We're looking for early cancer in blood. Our results so far for early stage cancers are discouraging, but they may become encouraging in the future. And here I refer you to the S1 that Grail had published before its acquisition by Illumina. None of these companies can and almost certainly never will detect pre-cancer via blood-based approach at clinically meaningful levels. In contrast, Esogar does detect pre-cancer and is based on the same premise I built my companies on, preventing the progression from pre-cancer to cancer. You detect the pre-cancer, you prevent the cancer. You save lives. This is the exact formula and the psychic formula, and now is the Lucid formula. Lucid's long-term success depends on messaging and clinical data. The key message to the public, which the team is starting to get out, is the relationship between gastroesophageal reflux and esophageal cancer. A 10-year exposure to gastroesophageal reflux to GERD increases your esophageal cancer risk enormously. It's a simple message and the public needs to hear it. For the medical community and especially for the experts who produce guidelines, what matters most is published clinical data. I've learned over the decades that what moves the needle over the long term are well-published, well-conducted studies. Lishan and the LUCID team understand this and are off to a great start. Sandy Markowitz and his colleagues published outstanding data in their seminal study of these technologies in one of medicine's most prestigious journals. LUCID is clearly committed to building on that data. It is actively enrolling patients in two international multi-center trials that are powered to demonstrate that esogar detects nondysplastic Barrett's in a screening population. This pivotal study will support pre-market approval submission to the FDA planned for 2022 for registration both of ESO Guard and ESO Check as an in vitro diagnostic. The publications of these studies will be important drivers of long-term value. EXACT went from about where Lucid is today in 2012-13 to a multi-billion dollar company in 2014 upon completion of its pivotal study and FDA IVD registration. The next step, which Lucid is already planning under the FDA's Breakthrough Device Program, will be to extend the screening study until it has sufficient statistical power to demonstrate that IsoGuard affects esophageal dysplasia. That will be the final piece of the puzzle. And I believe at that point, the company might well be a very attractive acquisition target for one of the large diagnostics companies. Finally, we know that large sales and marketing programs and high quality clinical studies require ongoing access to growth capital. This is the reason I strongly support the plan to spin off Lucid into a standalone company with access to public markets. A few months ago, I thought Lucid might consider waiting to go public until another milestone, such as obtaining LDT local coverage, a publication, or completion of the pivotal study. I no longer believe that. The story is already very strong. Given the data they have, the logic of what they are doing, the strength of the IP portfolio, and the favored competitive environment, these are all factors that support the spinoff. I believe the spinoff will be successful, and I believe that Lucid will thrive as a public company. I'll stop here and hand things back to you, Leshawn.

Thanks so much, Stan. I'm so happy that our listeners had the opportunity to get a brief glimpse of the precise analytic thinking and highly actionable advice that I've benefited from over the past several months. I will now close with some rapid-fire updates across our divisions and products. We don't have time for me to provide the usual background and context For those of you who are just learning about ADMEDS, I would encourage you to refer to our website and SEC filings for additional information and contact us with any questions. So let's first close out some items with Lucid and GI Health. On the clinical trial front, as Stan mentioned, our E-Cigar DE1 and 2 studies in support of future PMA submission and FDA IVD registration continue to enroll, although the pace predictably slowed during the winter COVID surge, and European site initiation remains delayed due to travel restrictions. That said, 40 of our 60 sites are active, and we have enrolled approximately 70 patients across the two studies to date. Although we expect enrollment to return to full pace next month, the cumulative COVID-related delays have pushed our target completion date into early 2022. We've taken advantage of the COVID-related shutdown to introduce a new improved preservative buffer and a more user-friendly and precise e-sit check accessory. We've also strengthened our operator training program during this time. On the European front, we've successfully completed all of the necessary audits by the European notified bodies and expect to receive ESOCHEC CE mark approval and complete ESOGARD self-certification in Europe next quarter with a limited commercial launch in select countries later this year. We continue to make excellent progress on our ESO CURE esophageal ablation device. Based on input from our medical advisors, we've added some features and and plans several accessories to the product, pushing our animal testing forward a few months and the target FDA submission date into early 2022. We also continue to pursue opportunities to apply e-subject to the very common allergy-mediated condition eosinophilic esophagitis. We are waiting to print out of the results from the University of Pennsylvania pilot study and continue to explore licensing opportunities in this space. So next up, CARPEX and our Middle Invasive Intervention Division. As we announced last week, the first US carpal tunnel syndrome patient recently underwent successful CARPEX minimally invasive carpal tunnel release. In marked contrast to typical recovery times following conventional surgery, the patient returned to work as a truck driver within one week of the procedure. We continue with a steady and deliberate commercialization plan with a small team of world-class hand surgeons focused on optimizing the procedural steps and safety. This group will serve as ambassadors, trainers, and proctors when we launch a broader more aggressive commercialization effort later in the year. We have also successfully completed all of the necessary audits by the European notified bodies and expect to receive CARPEX CE mark approval next quarter as well. We are evaluating potential European distributors and do not have a specific time table yet for European commercial watch. Next briefly, our infusion therapy division. The Port IO study in Columbia, South America is almost ready to commence. Our team was able to recently complete in-person site initiation visits at four Columbia medical centers after travel restrictions were loosened. We're waiting for final IRB approval and expect to begin enrollment next quarter. We also continue our discussions with FDA on our proposed U.S. IDE study and are considering a more aggressive regulatory strategy to go straight to an eight-week implant duration indication instead of the current proposal for a seven-day indication as a bridge to longer duration. Our NextFlow intravenous infusion system continues to successfully advance through design control development testing with FDA submission targeted for the third quarter. Our M&A discussions to license the NextFlow technology for disposable infusion pumps continues in the deep diligence process with benchtop testing being completed by the large strategic partners that we're engaged with. We continue to advance the technology while this M&A process continues, and we hope to reach a final agreement in the next quarter. Finally, our emerging innovation division remains very active. Our partnership with Canon on the disappear-resorbable silk pediatric ear tubes is going very well, and we expect to be in a position to initiate animal testing with Canon-produced ear tubes next quarter. With regard to SOLUS, in addition to advancing the non-invasive glucose monitoring technology we licensed in 2019, we've been developing and advancing our own proprietary technology in this space, which is not subject to the license agreement. Although the R&D work on the licensed technology produced data in human volunteers and a diabetic rat model consistent with the milestone accuracy parameters, we ultimately determined that it would be in PavMed's best interest for us to focus our future efforts solely on our proprietary technology to terminate the license agreement and seek a mutually agreeable unwinding of the relationship, which is currently being negotiated. Our emerging innovations team continues to work on several other exciting early-stage technologies, including ECMO, cardiopulmonary support, and ventilation. We also continue to evaluate exciting, commercially promising innovations, which are regularly presented to us by academic medical centers, clinical innovators, and early-stage startup companies. So, thank you all for your attention, and with that, operator, we can now open the call to questions.

At this time, we will be conducting a question-and-answer session. If you would like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. you may press star two to remove your question from the queue. For participants using speaker equipment, it may be necessary for you to pick up your handset before pressing the star key one moment while you pull for questions. Our first question comes from the line of Frank Kakinan with Lake Street Capital Markets. You may proceed with your question.

Frank, good morning. Hey, thanks. Good morning, guys. Thanks for taking my questions. Congrats on the big news. That's great. I think it makes perfect sense to have Lucid Business as a peer-played GI health company. So I'll start with just one question for Stan, and I realize this was talked about in a couple different forms throughout the call, but just wanted to revisit it and maybe go a little bit deeper. But, Stan, maybe talk a little bit about the similarities and differences you see with the commercialization of Esoguard versus Cologuard. And maybe speak a little bit to the importance of the IBD.

Excuse me. Maybe the biggest difference is the role that colonoscopy had assumed in screening. When we started EXACT, colonoscopy was not recommended for primary screening. It became a standard of care based on the publication of something called the National Polyp Study in 1996. and had achieved something like 40% market share. And to be clear, colonoscopy is highly effective. It's also a daunting procedure for those of you who've had it. And the problem, persistent problem has been 60% noncompliance, 40% compliance. Organized gastroenterology did not really welcome the exact test because the cornerstone of a million dollar a year GI income is colonoscopies, to be clear. So Cologuard was taking a direct swipe at the core income of a large part of the GI community. That's probably the biggest difference, the presence of competition. Kevin Conroy did an outstanding job at gaining concurrent reimbursement with FDA approval for Cologuard. I think Leishon and team have done, if possible, an even better job with securing reimbursement pre-FDA here. We're well on the way, the company is well on its way to FDA reimbursement. So those are the two principle points.

Okay, that's great. When we're thinking about the next 12 to 24 months, what are some of the key milestones we should be watching for both on the transaction front of confirming that we're on the trajectory to have Lucid as a standalone company as well as ESO Guard confirming it is on the trajectory to be as successful as COLA Guard. So just looking for a milestone template over the next period of time.

Yeah, Shlomo, why don't we just sort of go through sequentially. So we are moving forward. As I said, we intend to proceed with the spinoff, and so we are in discussions with bankers to start that process, again, assuming the market conditions hold up. So that's ready to go. In terms of Isagard, as I mentioned, you know, this is a fairly big difference in terms of how we're pursuing, how we plan to pursue Isagard commercialization, and it's really one of the reasons why we are proceeding with the spinoff, which is that instead of sort of this organic strategy of going, you know, door-to-door, GI-to-GI, and again, that's going fine, and what we expect will continue to accelerate, we really felt, given the way the consumers are responding to our outreach that we need to have multiple sales channels going. So the spring, as I mentioned, we'll be initiating a pilot program in a specific metropolitan area where we will start building our own network of nurses to perform ESA check and house them in locales and venues so that we have, we can assure and not depend on the vagaries of geographic distribution of gastroenterologists that we can assure that we have some place to send patients for testing if and when they or their primary care physicians inquire. So that's a really big initiative for us that will start this spring, and based on the results of the pilot study, we'll hone those details inside to spread that out over the next 12 to 18 months. So that'll consume a lot of our effort over this time. And I think that's really the key to us escalating, really sort of escalating ECR commercialization and ultimately recognizing revenue in an accelerated fashion because, you know, those multiple channels really give us an opportunity for, you know, for significantly accelerated pace for that, for those activities. The clinical trials are extremely important. I think as Dan mentioned, the completion of the Um, so the pivotal study, the submission for, um, IVD registration through a PMA and, um, receiving of that will be critical milestones. They work for, for exact and they will be for us. So we are, um, it's been a bit frustrating because clinical research always gets the backseat, um, takes the backseat when, uh, during COVID related delays, it's always the first thing they shut down. But now that, now that healthcare workers are vaccinated, we feel. very confident that we'll have unfettered access both for the commercial activities as well as the clinical research trials. So we should be at full pace next month and complete enrollment in the early part of 2020 to submit the PMA and hopefully secure IVD registration. That securing of IVD registration has also become much more important now that the MCIT rule has been finalized by FDA. So our ability to secure CMS coverage upon FDA approval is now enhanced because of the, because that final rule has been implemented since our last call. So those are really the, that's what we're focused on. We're focused on obviously the spinoff, this expanded commercialization strategy using our own, building our own network and proceeding directly to direct to consumer marketing, as well as direct to primary care sales and marketing. And then getting the clinical data, as Dan had emphasized, building on that and completing this pivotal study. Those are going to be the dominant things we focus on over the next 18 months.

Perfect. And then just last one for Dennis. You guys have done a really good job of getting the balance sheet in a lot better place with the recent capital raises. Maybe, Dennis, if you could level set us where you guys are standing now from a cash and debt level. post the January offering?

Yeah, sure thing. We're just under $30 million on a pro forma basis using December 31st as the benchmark. And we're presently principal face value principal of the debt is just around $12.5 million.

Great. All right. Thanks for taking my questions and congrats again on the smell. Thanks a lot, Frank. Thanks, Frank.

Our next question comes from the line of Anthony Venditti with Maxim Group. You may proceed with your question.

Anthony, good morning. Good morning, Anthony. Lushan, just to get started with the pilot program in one major metropolitan area that you have planned for the second quarter, can you talk a little bit about, I don't know if you want to disclose the metropolitan area, but How that's going to roll out, what's the timeframe, and what kind of results are you looking for? Is there a certain number of patients that you want to have treated? Just a little more detail on that.

Sure. So it's one of the top ten metropolitan area. I won't be specific about which one. Okay. The way it'll roll out is that we, you know, we'll quickly move towards establishing sort of this ESO check, our own ESO check operators in that venue. And it won't, by then we will have hired our clinical specialist and we will either use them or retain a nurse or two in that metropolitan area to be located in a venue with a partner physician trained and available to do self-referral or primary care referral e-cigar procedures as they come in. So that's really the kind of logistical operational side of things. At that point, we'll turn on the switch and begin the direct-to-consumer marketing side of this. And that's actually already. We have most of that, the marketing materials and the animations and all the patient-focused materials actually are already in place and they're functioning in social media We'll obviously be expanding those. And so once we have the infrastructure to be able to send a local patient for e-cigar testing, if they inquire, then we'll turn on the switch and begin the direct-to-consumer marketing campaign in that metropolitan area. You know, obviously I'm not in a position to sort of give you sort of a metric as to how many patients we would expect from that location. You know, the goal here is to sort of hone the mechanics of it. But I can tell you just from very little, you know, modest activity on just social media without even sort of formal paid advertising, again, people, consumers and lay people understand chronic heartburn, understand the disease. They understand sort of the Freddie message. And so I would not be surprised if we get a lot of inflow of requests for testing. And we'll hopefully have the infrastructure and the capacity to handle it when we turn that switch on.

Okay, great. And you mentioned that you'll remain the largest shareholder in any spinoff or combination of Do you have a timeframe for this? Is this, you know, in the next three to six months or 2021 event? And then is that going to- Let me just answer that real quick.

We're starting that. So we're not waiting. We're starting because we don't, you know, the markets can be finicky, obviously, and we don't want the market opportunity closed, the window to close on us. So we're starting that process now.

Okay, and that includes, the Lucid subsidiary includes everything under the ESO Guard, ESO Check, ESO Cure. Nothing else goes into that. Is that correct?

Well, let me just make one clarification there. So ESO Guard and ESO Check, the licensed technologies from Case Western, are licensed by Lucid. Lucid is the licensor for those products. ESO Cure is actually... built on a PadMed technology, PadMed IP called Caldus. But we are, we have, our plan is to have Lucid sell and market eSecure through an arrangement between PadMed and Lucid to be determined. You know, some type of license agreement with transfer pricing and so forth. But because the infrastructure will clearly be a part of, the sales and marketing infrastructure will be at Lucid, That's where the gastroenterologists are. That's where eSecure will be marketed.

Okay, that's helpful. And just to pivot over to Carpex, obviously, congratulations on getting that first successful patient treated. Just in terms of as you roll out this commercial launch, any color on how that's, starting to roll out, the resources behind that, a little more about that.

Yeah, so it's going fine, but I've often emphasized from the beginning that we're, you know, we're taking a deliberate approach here because, as I mentioned before, you know, this is an interventional procedure. It's not just, you know, Easter check, which is a very simple office-based procedure. And so the most important thing in these early launches of interventional and surgical devices is to make sure you have committed operators to work through sort of the procedural steps and the efficiencies associated with that before doing a broader launch. And that's what we're doing and we continue to do. So we have about a half a dozen surgeons that are in the pipeline, are being trained in cadavers and are beginning to schedule tests. And so that process will continue during the first half of this year. We'll probably expand it to 10 or 12 during that period of time. And then at the end of that, once we have a sufficient number of surgeons who can serve as proctors and trainers and general ambassadors and be on the podium at the meetings, then we'll turn the switch and do a broader commercial launch at that point in time. So modest activity from a case point of view, case number point of view, through this early stage. of commercialization. But then we expect, obviously, once we've laid the groundwork for that, that that'll accelerate during the second half.

Okay. Then the last question, and I'll hop back into the queue, is COVID-19 on things like CARPEX, Is that slowing that down? Not really.

It has been. Yeah, sorry to interrupt. Sorry. It has been. So, you know, getting cases scheduled, getting to actual, you know, getting training at cadaver labs and so forth, it's been a slog, the things that you have to do to get those things scheduled. But as I said, broadly now, both on the commercial front for the ESA guard and ESA check activities as well as CARPEX and on the clinical research, we kind of see those skies apart now because of vaccinations. So it was a little frustrating in January when we would try to schedule visits, we would get turned away because they were focused. They'd say, just come back when we have everybody vaccinated. And now that that's pretty much wrapped up in most healthcare institutions, we really think we'll have unfettered access moving forward for all the commercial and clinical research activities, including CARB-X.

Excellent. All right, I'll hop back into the queue. Thanks so much. Appreciate it. Thanks, Anthony. Appreciate it.

Our next question comes from the line of Ed Wu with Acidian Capital. You may proceed with your question.

Ben, good morning. Great.

Yeah, thanks for taking my question. Good. My question is, do you have a targeted, you know, ownership interest of Lucid that you plan to have going forward? And will you consider just spinning it out completely?

I'm not sure I understand your second question, but the first one is straightforward. I mean, we all seek to the maximum valuation we can receive for the Lucid asset. And based on that, we expect Padmet to be far in the way of the largest shareholder in such a transaction. And we believe we'll be able to garner really good valuations given the current market. So I'm not sure if you're saying will we sell, do we anticipate selling Lucid, Padmet share in Lucid? That's the second part of your question. The answer is no.

Okay, great. Then the other question is, is there any anticipated change with the management of Lucid with this transaction?

So immediately, no. Lucid operates extremely efficiently right now and has proven that in terms of its track record getting to where we are over the past two and a half years. So through the Through the spinoff, we'll continue to manage Lucid through a management services agreement with PadMed. But there's going to be a lot of activity and there's going to be a lot of resources that are going to be required within Lucid as a spinoff company. So we certainly intend to expand the management team within Lucid as soon as we complete that spinoff. But fortunately, we can do that in a deliberate fashion and identify the highest quality senior management people to bring into Lucid after the spinoff.

Great. Well, thank you for answering my questions, and good luck.

All right. Thanks a lot, Ed. Really appreciate it.

Thanks, Ed. Ladies and gentlemen, we have reached the end of today's question and answer session. I would like to turn this call back over to Dr. Acklock for closing remarks.

So thank you all for joining us this morning. Again, we've taken up the full hour, but I appreciate you taking the time and hope you found this to be insightful and useful in learning about where Padmet and Lucid are. We're obviously very excited about where things are going based on today's announcements. And I'd also obviously like to thank Stan for joining us and for his insightful remarks. We look forward, as always, to keeping you abreast with our progress via press releases, these periodic conference calls, and other modalities. The best way to keep up with our news and updates and events is to sign up for email alerts on our IR portion of our website. And we're also active on Twitter, LinkedIn, and YouTube, where we regularly post useful information for investors. So I also encourage you to contact Mike directly with any questions at jmh.avmed.com. So everybody have a great day. Thanks so much.