Biotech Values

[oldberkeley]

I would submit that the tepid investor response to the BAX deal (so far) is not due to a deficiency in the partnership’s financial terms, but rather to skepticism that MNTA can accomplish what it says it can accomplish with respect to interchangeability.

I'd submit that the tepid response is at least partly because the entire subject of biosimilars and this specific deal is so fraught with complicated technical, financial, and scientific possibilities—each dependent on another in an ever-cascading waterfall of complexity—that it’s too much for the average analyst (much less retail investor!) to quickly comprehend and digest. Present company excluded, of course.

Buyouts are easily understood and that understanding is reflected immediately in the PPS; this might take some time.