Being more familiar with the ONXX side rather than the ARRY side, these are the points to come to mind:
For: It would be consistent for ONXX because they've been rather aggressive with carfilzomib. I think ONXX believes they have an inherent edge versus velcade and they're already embarked on that journey, so a combo with a novel drug may be a first shot at competing against revlimid.
For: I'm a broken record on this, but ONXX's preclinical work is not the envy of the biotech sector, so trying to leverage their cash flow with a few novel shots on goal would make sense for them.
For: Monotherapy is the easiest (and arguably most reliable) way to market for multiple myeloma. If ARRY is trying to hedge their bets then it would be a good fit.
Against: As an ONXX shareholder, I would not be in favour of an in-licensing. Due to point #3, I think that ARRY is showing their hand and I would use that as leverage. Maybe provide some free drug and help a little bit with trial costs, but not much more.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.