Replies to post #210496 on Biotech Values

[linhdtu]

i believe in last cc, neff said they might dilute to have the option/wherewithal to share in china trial cost as that would mean straight 50-50 profit sharing

[ghmm]

FGEN:

I don't understand the offering either (or traders for that matter :-)). I am certainly not complaining the stock is up but saw it as a NEGATIVE read through on 3019 BEFORE IPF data in 4-5 months. My thinking was they certainly don't need the cash now the delay in Roxadustat data (pushes milestones/royalties out) and perhaps a delay in IPF may have led to the (overly?) cautious Neff doing a raise now. I have been concerned that the substudy of combination treated patients will not give us any meaningful data and that they decided against a head-to-head comparison against the approved agents (for various reasons). Ofev and Esbriet were approved on relatively large 48 and 52 week studies and here we'll have a small number treated for 6 months (with 3019 and one or both approved agents) which may not help in determining Phase 3 plans. So my thinking is an (overly) conservative Neff may want to do a larger number of patients treating for a year. I certainly hope the 3019 data on its own are strong enough to discourage this line of thinking!

Peter pointed out that the offering was China Interest related which would certainly make some sense as to why it is so strong.