Insmed Inc (INSM)

[tjscrazy]

I cannot help but think that there is someone at Genenetech that is asking the question... "Why didn't we grant a license to Insmed in the first place... it looks like we bet on the wrong horse" .... "MAKE A DEAL".

In hindsight I think they made a huge mistake cutting the deal with tercica. They have a decent chance to correct it now... and make a lot of money in the process. I have seen how ruthless they can be and I do not think that their loyalty to tercica is something that should be taken for granted.

There is always the old business adage of buying a company so that your competition doesn't. This is the chess game of all businesses. (hollywood does it with movie scripts all the time, fast food chains, wal mart and home depot do it with real estate.) I see no reason why Genentech wouldn't want to get involved with Insmed just to keep others from getting ahead. They can certainly afford it. They could also invest enough to get them exclusive rights for marketing and future licensing.

That is my "speculation"