Replies to post #222622 on Biotech Values

[DewDiligence]

RVNC—You asked several questions, so let’s take them in turn.

…have you ever spoken to the difficulty of unseating a very entrenched incumbent (AGN/Botox) with respect to RVNC.

Yes—please see #msg-144655043.

…this is a product not paid for by insurance…

Aesthetic indications are not covered by insurance, but therapeutic indications (e.g. cervical dystonia) are covered. Because the doses in therapeutic indications are much higher than the doses in aesthetic indications, therapeutic indications currently comprise about 60% of the worldwide sales of botulinum-toxin products.

…can AGN employ tactics that slow RT002 uptake…?

Patents on botulinum toxin per se have long since expired, and RVNC’s RT002 uses a proprietary formulation that does not infringe any of AGN's formulation patents. Thus, the only potentially blocking patents for AGN to wield against RVNC are “method of use” patents in such indications as migraine, which RVNC hopes to be able to circumvent by using a proprietary dosing and injection-site technique.

RVNC's valuation seems completely misaligned if they can take even moderate market share from Botox.

Absolutely.