GTC Biotherapeutics (fka GTCB)

[stockdak]

Perhaps it is more likely that the partnership delay stems from the fact that the DIC indication is worth more the the HD indication. Thus topline results from the HD trail mean less to the potential partners than results in the DIC trial. Some DIC trial results are due in October September as I recall (8 months). Does it hurt the potential partner to wait for more assurance for that trial before signing? Likely it would cost more with good P2 results for DIC but there would be less risk as well.

I am surprised at the financing. After the strong prediction of a partnership by the end of 2007 I felt assured that new dilution would be unnecessary if at all until well into 2008 not two months into 2008. For Mr. Newberry to say that everything is on track as before and that their negotiating position is improved by this dilution is hard to understand. Instead what it says to me is that any partnership agreement is delayed significantly, perhaps even until after the DIC P2 results are available.

The $6 million is three or four months of cash burn. If this is enough time to gain increased revenue to go forward without a partner I look forward to hearing that said. I don't think that GTCB in this stage of their evolution is in a position to play hard-ball with potential partners. Indeed they have not done so in the past with LEO or LFB. Is the new deal negotiation VP (Mr. Lawton) the difference? Obviously I would have preferred they got the deal done with less favorable terms rather than dilute and delay.

DAK