Biotech Values

[DewDiligence]

…ECYT CC, which I actually thought was rather lame. None of the really interesting questions around milestones, royalties or standstill agreements (I'm not exactly sure what they are.) got answered.

Standstill agreements typically specify the conditions under which the larger company (MRK in this instance) can increase its equity stake in the smaller company or can offer to acquire the whole company; they may also have ancillary terms regarding such matters as BoD representation. Standstill agreements have a specified expiration date; they typically run for about 3-5 years.