Biotech Values

[DewDiligence]

any opinions on how [low double-digit royalty] relates to 45% of profits? 1/2 as much? 1/4 as much?

It’s 40%* as much before taking into account that NVS’ market share will decrease and the Lovenox ASP will likely drop to some degree. If we assume that NVS’ market share goes from 55% to 40% and the ASP declines by 15%, the overall effect is to reduce MNTA’s Lovenox take to 25% of its prior level.

*MNTA’s 45% profit share was equivalent to a 31% royalty on sales.