Biotech Values

[DewDiligence]

>NUVO GTCB – Do you think something like this is a possible outcome for GTCB?<

It’s a mater of degree. GTC could end up being absorbed in a reverse merger with a private company (what happened to NUVO); however, the enterprise value ascribed to GTC’s business in a merger will surely be much greater than the EV ascribed to NUVO’s business.

NUVO has but a single program in phase-2 and no IP of any consequence, which allowed ARCA to drive a hard bargain.

GTC, on the other hand, has an approved drug, several consequential partnerships, and the preeminent IP for production of biopharmaceuticals from transgenic animals.