Biotech Values

[DewDiligence]

More on GTCB ATryn partnership:

[From Yahoo GTCB board]

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Re: Transfer price
by: DewDiligence
11/01/05 11:55 am
Msg: 23830 of 23830

>Transfer price is another important metric that we’re unlikely to ever hear about. I guess we’ll have to wait for future ‘bottom lines’ to get a clue if this is a good deal or not. With LEO being private, we’re not likely to learn much more from their side.<

The industry-standard transfer price in these kinds of deals tends to run about 110% of fully-allocated COGS, so I think it’s reasonable to use this number as a yardstick. However, royalty rates on end-user sales vary widely.

[Posted as a reply to: Msg 23827 by svarten98]
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