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tommyb

07/31/06 8:59 PM

#4823 RE: reversetaxman #4821

reversetaxman, sounds to me like the market had already anticipated this event and the value was reflected in the current stock price. I noticed that the drug YMI licensed had been previously licensed in India, and now it was being licensed in Japan. No big deal. I don't think we can compare YMI and BOCX based on this event alone.
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Gold Seeker

08/01/06 6:33 AM

#4828 RE: reversetaxman #4821

You can see by the following chart that the deal was not built into the stock. The
http://finance.yahoo.com/q/bc?s=YMI&t=5d

The longer view shows the acquisiton and incorporation of another company as a wholly owned.
http://finance.yahoo.com/q/bc?s=YMI&t=6m&l=on&z=m&q=l&c=

My guess as to why it did not bump the stock more is the length of time from today until any revenue is produced. Regulatory affairs in Japan are lengthy.

If ABT incorporates RECAF, the revenues would much closer and have a significant impact on BOCX bottom line. In addition to the milestone, investors will anticipate revenues that would only be a year or so away but for YMI, it would be 3 years or maybe longer for any revenue from the announced deal.