Oncolytics Biotech Inc. (ONCY)

[Ballchinian5]

Geneman,

One thing your post does not mention is that the NCIC and NCI have agreed to fund and run a large number of randomized phase 2 clinical trials. If I recall correctly from the AGM, they're chipping in something like $45M of free money for this.

I would hope that it would give some of the ONCY skeptics pause that the outside funding agencies have given a hard-money endorsement of Reolysin.

But I'm still curious, do you know if such a large outside injection of cash is untypical for small companies in the biotech field? Should all this funding of phase 2's be taken to be a strongly positive sign? (Note that the NCIC could have simply put off a decision on funding the phase 2's until after the interim phase 3 data came out.)

More broadly, do you think that a good investment strategy would be to randomly invest in small biotechs that have reached phase 3 and also attracted significant agency funding?