Replies to post #245921 on Avid Bioservices Inc (CDMO)

[revenue_monster]

CP. this is all great but we've been hearing similar statements for years. Go back and read transcripts from 2 years ago and i am sure you'll find something like "partnering interest remains very high and we continue to update prospective partners" at some point the words are ignored by the investment community. Steve is the little boy that cried wolf. AZN just dropped $2.5B for 55% of s company today, pphm would be foolish to walk away from a similar structure.

Quote:
Stephen Worsley: I think the exposure that we’re seeing with these 2 collaborations [AZN & MSKCC] have significantly increased who we're talking to, but also the ability for bavituximab to act in a variety of different indications. This is obviously leading to further discussions with some of the leading oncology players worldwide.

...AND...

Peregrine’s goal in partnering with these immuno-oncology leaders is to define the broader scope of utility for bavituximab. Through these collaborations, we are actively identifying a range of indications & treatments that will benefit from combination therapy with bavituximab. This will undoubtedly yields important findings in the near-term that will continue to build shareholder value. We continue our dialog with a number of other world leading pharmaceutical organizations and believe that bavituximab will continue to generate partnering interest.

[north40000]

CP, GILD starts with a collaboration and equity investment in Galapagos NV, PR early morning:

http://ih.advfn.com/p.php?pid=nmona&article=69731757&symbol=GILD

RA, among other indications. Unlooses the strings on cache a little bit.

BTW, it's TPIV, not TIPV.

[JamesGMS]

CP, thank you for your response as excerpted in relevant part below:

So if that is the goal, and it surely also is for GILD, PFE and JNJ/J, then what component would you go after FIRST? Well I would go for the one of which there is only one. And that is Bavituximab. It doesn't has its comparable. If I have that one I can start buying other molecules or make deals if needed. A PD-1/PD-L1 program is not so hard to come by. AstraZeneca for instance is an AFFORDABLE target for GILD, PFE and JNJ/J.

And WHEN would I do it? Well I'd wait until my competitors and those with less pocket depth spend there money to others, bying 10 companies in the hopes one of them has the anti-body that brings something extra to the table. And HOW would I do it. I would make an offer to PPHM that is sufficiently HIGH to keep the smaller players away and only allow my direct 'pocket depth' competitors to compete BUT that is to low for PPHM to accept it. In this way I can stall them while the others spend and I can see WHO has WHAT and what combo I need to beat.

CP, I would agree with your assertion in your first paragraph - However, your second paragraph - not so much.

As time is most certainly of the essence in the sprint to lead the I/O charge, there is no way GILD - or any other truly serious BP - would wait to make their move once their DD is complete. As that would only invite an eventual bidding war as more and more public validation continues to emerge re the breadth and depth of Bavi {and very importantly, its progeny}. And to "make an offer" - knowing PPHM could not accept it - to "stall them" {meaning other BP's} would most certainly NOT be an approach GILD would pursue. As once they identify a molecule they want - AND NEED - they will move with breathtaking speed to either acquire it outright - as was the case with Pharmasett - or they will partner - as would be the case here - to get as big a piece of the Bavi pie - perhaps up to 50% - as possible NOW - with a likely option to purchase more - maybe all - in five to seven years - but of course at then prevailing market value.

Other BP's may not move as rapidly as GILD, but they are not stupid. Should GILD in any way publicly demonstrate their interest and likely intentions in an effort to "stall" other suitors, they would accomplish nothing more than to dramatically increase the cost of any deal they could eventually make with PPHM.

And one last thing - PPHM wants the "right partner" - one that can not only offer them fair value now - and down the road - for what will likely constitute the next "Transformative Cornerstone Molecule" in the I/O space, but also a partner who is enterprenurial, quick footed, and most importantly not wedded to the traditional Big Pharma approach to developing and marketing new drugs. That is not JNJ - that is not PFE - but it fits perfectly with the current reality at GILD.

Thanks again for all your contributions.

James

[swg_tdr]

CP, Not Again "the combo" We went over this some time back.

Currently infusion dosages are administered in sequence, or with multiple driplines joint, at whatever infusion rates are set for each.

So, who of our pros has said we can put x y z together in one vial? Storage condition, individual expirations, fine-tune by Onco re side effects etc. Also I seem to recall we saw pre-treatment via Bavi alone, followed by others?

Then, also, you could be held to a tied sale, me-thinks.

Finally you cannot hold Bavi back from other BPs once they do their stuff, no monopoly in the market place. Oncos and patients would also scream, and you don't want bad press, eh?

Now given this range of Bavi rivulets, how astronomical is the value?

regards,
N

And if you have such combo elements you could see if you could sell them in a relative dose: e.g. Molecule A,B,C all in one (joined) and all dosed in function of 1Kg body weight. So your competitor, to have Bavi, would have to buy your combo because you do not sell Bavituximab alone AT ALL. That is ONLY possible if, AGAIN, you OWN all combo elements