Biotech Values

[DewDiligence]

ENTA's acquiring OCRX makes a lot of sense, both scientifically and economically. Scientifically, OCRX would give ENTA another liver-disease indication with a high unmet medical need that no other company is working on.

Economically, ENTA has the financial resources to run the OCR-002 clinical programs for the IV and oral formulations and to thoroughly investigate the STOP-HE PK data of every patient in order to make the dosing changes that are needed to improve efficacy in the IV setting.

Moreover, ENTA could utilize OCRX's NOLs to offset ENTA's high tax burden, which will increase considerably when G/P hits the market in about a year.

An ENTA-OCRX deal probably won't happen, of course, but if executives from either company are reading this board maybe they will see the logic.