Revance Therapeutics Inc (RVNC)

[DewDiligence]

For RVNC, pursuing therapeutic indications, such as CD, before obtaining regulatory approval for the first aesthetic indication may well be the plan that maximizes shareholder value. I’m surprised that you and ‘jmk’ seem confident that RVNC is making a mistake.

RVNC has a head start of probably 6-7 years relative to AGN and Ipsen, who have long-acting toxins (based on different technology) in preclinical development. It seems to me that if RVNC were to defer running clinical trials in such therapeutic indications as CD, they would be surrendering a material slice of the valuation pie—even after discounting the competitive threats according to their probability of program failure.