Biotech Values

[DewDiligence]

Big pharma typically don't even bother with SPA's.

That’s consistent with the thesis I’m positing that part of the reason EXEL made a huge deal about an SPA was to impress the investment community. I’m not saying that EXEL did in fact pursue an SPA mainly for this reason, but I think it’s just as plausible as your thesis that the FDA moved the goalposts or that EXEL’s clinical managers didn’t understand what they were doing.

There was no mileage for them to be talking about an SPA…

For small biotech companies that are burning cash at a prodigious rate, there is always mileage in impressing the investment community, at least in the short run.