ZymoGenetics (ZGEN)

[brooklyn137]

This is a horrible thing. If you assume that lamda will be successful, the company is being sold for negative 30 million dollars. That's right, it's not even being given away, they are paying BMY to take it.

BMY still owes about 800 million in milestones. ZGEN has, give or take, 150 million in cash. The number they are giving as the real sale number (offer minus cash on hand) is 770 million. It may be less, but using their number, that's 30 million less than the milestones that are due.

The only hope is that another company will see the bargain and step in. After all, if they offer zero, it's a better offer.

I don't generally like these suits which pop up all the time, but this time it's justified.