Biotech Values

[DewDiligence]

Revance (RNVC) files for IPO:

http://www.bizjournals.com/sanfrancisco/blog/biotech/2014/01/revance-ipo-rvnc-medicis-botox-wrinkles.html

Revance, which is led by President and CEO Dan Browne and would be traded on the NASDAQ exchange as "RVNC," is in a Phase III trial of its lead product, RT-001, to eliminate crow's feet lines around the eyes. The drug is a topical formulation of botulinum type A, compared to injectable Botox. The drug eventually might also be used to control excessive sweating, migraines and allergic rhinitis.

… Revance is required to make payments to Medicis from specific types of cash Revance raises, including part of the IPO. Revance also will pay $4 million to Medicis when RT-001 and RT-002, an injectable form of botulinum type A that is designed to be more targeted and longer lasting than Botox, are approved.

$4M is chump change for a regulatory-approval milestone payment for two products. Medicis is now part of VRX (#msg-79186818).

I’m pretty skeptical that topical botulinum toxin will work as well as Botox in either cosmetic or medical applications. AGN is (IMO) more concerned about potential Botox competition from JNJ (#msg-85982909) than they are with what RNVC is doing.