Biotech Values

[jbog]

Zip,

Per the latest Credit Suisse write up, they estimate Watson's retail sales of Enox adding about a dime per year in earnings. Now using a little commonsense, would you believe WPI would risk their whole enterprise to earn a silly 5 cents (prior to trial).

They know something we don't.


CS:
"""WPI could launch at risk per their release, or could attempt to settle with MNTA. Two legal obstacles, and the possibility of financial damages, remain: (1) the appeals court has yet to issue its final decision on today’s stay; and (2) the patent trial remains on Oct. 9, 2012. WPI’s damages risk may be somewhat mitigated by WPI’s prior comments that they “believe” they are fully indemnified from damages by their agreement with Amphastar, but the word “believes” and Amphastar’s presumably limited balance sheet leave room for interpretation of the extent of the indemnification. In any case, we think today’s news is positive in that it increases the probability of a launch and adds to WPI’s leverage in negotiating with MNTA.""""