Biotech Values

[DewDiligence]

Re: DES market shares

I think the numbers look right. I do not think ABT will give the exact Xience numbers until the co-marketing agreement with BSX is over.

That’s correct—ABT doesn’t want anyone to know how much BSX pays ABT for Promus, and hence ABT lumps this amount (as well as the royalties MDT pays ABT for zotarolimus) into an aggregate sales figure for ABT’s stent business. When the Promus co-marketing deal expires (when does this happen?), ABT may be willing to break out the Xience sales and the zotarolimus royalties (which are presumably small).

After listening to the BSX call today, I think more then ever BSX will be focusing on the Promus franchise going forward. Taxus may lose share faster then I originally thought.

Agreed—the DES battle has been fought and won by Xience/Promus; BSX could soon find itself in deep doo-doo.

If Guidant could have gotten their company in order they would be sitting pretty today. ABT made one hell of a great deal!

Those are two major understatements! ABT’s Xience deal was probably the biggest coup in the history of medical devices and one of the two or three biggest coups in the history of the healthcare industry. And they didn’t even have to outbid anyone of consequence!