Replies to post #2602 on Spectrum Pharmaceutecals Inc (SPPI)

[antihama]

The other take home looking at Array's buyout is what Spectrum should be worth. I was assuming that the value will go up w real sales #s but what I said below should be questioned

I know you realize this but when I say it’s worth $60 or 120/share, I do not mean at this moment but as those sales #s become a reality. You could almost draw a line from where the share price is now to $56 when there’s actual sales. When they submit the pozi previously treated EGFR exon 20 cohort NDA, and the FDA accepts the application, well, that makes those sales #s a little less ephemeral and the share price should bump up some. When it’s approved those sales #s become even more real and it should bump up closer to $56.

Array's buyout happened w sales just starting to pick up speed. I believe that premium buyouts prior to significant sales #s is the rule when you're selling a drug that fills an unmet medical need and pozi for exon 20 mutation definitely meets that expectation. This is in contrast to Rolontis. Rolontis can get those premiums but they'll have to prove it first.

[antihama]

why I am so dead set against a takeover since Spectrum will never realize its full potential that way. As I said previously, I can wait for these expectations to take place.

I thought of this when reading a FiercePharma article titled "Array played with Pfizer’s eagerness to land a deal on time—and got itself a better offer" It's an interesting read on how things slowly percolate and various interplay until the buyout happens. Array started thinking of buyout starting in January 2017 and 2 years later, presto. As you recall, Spectrum rumors emerged last year about a possible buyout. It needs another year to percolate.