GTC Biotherapeutics (fka GTCB)

[DewDiligence]

GTC’s Relationship With PharmAthene

[Updated for 1Q08 results; the Protexia IND and start of
phase-1 remain on target for 3Q08 and 4Q08, respectively.]


#msg-27390930 Protexia IND on target for 3Q08
#msg-27989353 Streamlined biodefense timeline

#msg-4107224 2004 IP license for Protexia
#msg-17826727 IP license expanded to all indications
#msg-22544066 2007 process and purification agreement
#msg-27957330 Extension of agreement through 2008

#msg-25964817 2008 Washington Post article
#msg-27925140 Protexia grant from US DoD
#msg-14110344 Protexia grant from NIH
#msg-28330311 Protexia program in Alzheimer’s disease
#msg-27806002 PharmAthene acquires biodefense vaccines
#msg-29260713 1Q08 financial results

--
What are the economics of the relationship for GTC?

GTC has not disclosed the economic terms of the PharmAthene relationship; however, Dr. Cox did provide some color in reply to a question on GTC’s 4Q06 CC (#msg-17607391). Based on that, I think it’s conservative to assume that GTC stands to earn a mid-single-digit royalty on the sales of Protexia. The PharmAthene relationship could thus generate a non-trivial income stream for GTC, especially if the Protexia program in Alzheimer’s disease were to pan out.