Hot Biotechs (fka HOTBIO)

[DewDiligence]

Re: RGEN:

>> I think you are probably right in your assumption regarding 'someone' seeing the data.... <<

After listening to this morning’s CC, I think it’s pretty clear what transpired back in mid-December. RGEN suspended emollient in the second phase-3 Secretin trial, but the company never announced the suspension to the general investment community.

However, for anyone privy to this development (including, obviously, many individuals at the clinical sites), the suspension must have been seen as an unambiguous signal that there were problems in the first Secretin trial (the trial whose data were released today).

The decision to sit on the trial results for 2-3 weeks because of the Christmas holiday was misguided from the start. Hopefully, other biotech companies have been paying attention and will not repeat this kind of screw-up.