Biotech Values

[DewDiligence]

BAX, Coherus* ink deal for Enbrel FoB for Europe, Canada, and Brazil:

http://finance.yahoo.com/news/baxter-coherus-biosciences-announce-collaboration-130000322.html

Under the agreement, Baxter will make an upfront payment of $30 million. Coherus will conduct development and Baxter will make payments of up to $216 million contingent upon the achievement of development and regulatory events.

Enbrel for the US market is specifically excluded from this program because AMGN’s newly issued US patent runs until 2028 (#msg-69263618).

BAX’s program with Coherus is similar to the recently announced program by Epirus to develop various FoB’s for emerging markets (#msg-91531661). Somebody is going to make money selling FoB’s based on price in ex-US markets; however, BAX’s FoB partnership with MNTA is strongly geared toward interchangeable FoB’s for the US market, where Enbrel would not be a product of interest due to its long-running patent protection.

*Coherus is a private biotech company based in San Francisco.