Biotech Values

[mouton29]

<<You [Dew] appear to define R=pR when p=0.45>>

I think all he is saying is that we can state that NVS recovers 100% of the development expenses out of 100% of the profits, or we can state that NVS recovers the MNTA profit percentage times the expenses solely out of MNTA's share of the profits. The reimbursement occurs at the same rate and ends at the same time under either formulation.

When Dew speaks of the "net profits ... that MNTA will forgo", that is a reference to a recovery from MNTA's share of the profits -- the profits they would have received but instead is used to offset the expenses.