Biotech Values

[ghmm]

Buyouts / Tax repatriation

I have a general question and a few comments

I haven't kept up with all the tax reform and differences so I may not be accurate but if the repatriation tax rate is 10% why would most companies do it? That is taking a 10% hit while you could keep it overseas? The finance people are much smarter (and creative) then I if they wanted to do things like issue (cheap) debt and maintain the cash or do acquisitions through foreign subsidiaries couldn't they?

On Endpoints list. I wish people would get creative! Sure some of those may be bought out but most have been talked about for 5+ years! A lot of these companies have issues making a deal complicated.
1) GLPG also has a standstill with GILD (when it ends has not been released) given their (current) most valuable asset is Filgotinib ownership interest they're the most likely suitor.
2) BMRN stock is at lows and they don't seem interested in selling in the past (had a board issue over it years back) and doubt they would anywhere near these levels.
3) VRTX has a nice CF franchise that is the only reason someone would buy them... but with a risk of a (potentially big) dent from ABBV/GLPG I think a buyer would be especially cautious wanting to ensure triples from them are superior to competitors.

Other than SRPT I don't follow the others closely to comment and even SRPT though there is new management I'd be surprised at a near term deal they have a lot of question marks that could (greatly) impact valuation in the next 6+ months.