Biotech Values

[DewDiligence]

EXAS—The money can go to all sorts of things ranging from advertising, recruitment incentives (price that patients are paid to be in the trial), and enrollment incentives (money to the of the centers for identifying potential patients).

Increased advertising makes sense, but this was presumably a small fraction of the incremental $5M EXAS spoke of on the CC. Likewise, paying the patients themselves more for participation makes sense.

What I don’t get is paying personnel at the trial sites a bonus for doing what they were supposed to be doing (and getting paid for) already. It’s tantamount to an admission that the personnel involved were lackadaisical in performing their duties.

I’m not trying to single out EXAS for doing anything improper; rather, I’m surprised by the willingness of a small biotech company to shell out $5M of hard cash for such a use.