GTC Biotherapeutics (fka GTCB)

[DewDiligence]

>I am not sure if a FOB deal upfront of $10+ million is realistic or not. The best candidate for a larger upfront might be CD-137 as other anti-cancer mabs deals that I recall have brought in large upfront payments.<

An FoB deal, unlike a deal for CD137 or some other proprietary compound, incurs zero risk by GTC’s partner that the drug in question will not work or will not sell.

The only substantial risk in an FoB deal is political: Will Congress adopt legislation that allows the FDA to approve generic versions of biologics? If a prospective FoB partner were convinced that the answer is Yes, they might be comfortable paying GTC a much larger up-front amount than the nickel and dime up-front amounts GTC has received in its prior partnerships.


“The efficient-market hypothesis may be
the foremost piece of B.S. ever promulgated
in any area of human knowledge!”