Biotech Values

[mcbio]

VRUS - Notes from JMP webcast (10/6/09)

1. The safety update from the DSMB on the first 100 patients in the Phase 2b trial of RG7128 will occur after AASLD (10/31/09 - 11/3/09) and will be sometime in 4Q09 before year-end.

2. If there were some type of safety signal with RG7128, VRUS would have presumably already been notified (i.e., no need to wait for the DSMB review) and they've received no such notification of any safety issues to date.

There was a recent article speculating on the likelihood that there would not be a safety issue with the first 100 patients. See: http://finance.yahoo.com/news/Ahead-of-the-Bell-apf-636516894.html?x=0&.v=1 . In particular:

"Our physician checks lead us to conclude that no news is indeed good news and that the key safety review for R7128 around late October is tracking to be a positive event," he said, in a note to investors. "This tilts our view of reward/risk for the stock to positive."

He boosted the target price citing a high probability of success for the drug candidate, citing a conversation with "three hepatology specialists close" to the program.

Based on those limited conversations, he said, there have been no concerning safety issues and enrollment in the study has been rapid.

3. PSI-879 and PSI-938, the 3rd gen purine nukes, both deliver the same active triphosphate to the liver with the only difference being that the prodrug is different.