Replies to post #68699 on Biotech Values

[DewDiligence]

Archemix is effectively giving up 43% of itself in exchange for NTMD’s cash and Nasdaq listing. What makes this transaction somewhat unusual is that NTMD’s CEO—rather than someone from Archemix—will run the new company.

[DewDiligence]

The full Archemix-NTMD agreement (FWIW):

http://sec.gov/Archives/edgar/data/927829/000095013508007405/b72968nmexv2w1.htm

[DewDiligence]

NTMD, which had agreed to a reverse merger with Archemix (#msg-33657360), just received un unsolicited buyout offer at 0.50/sh in cash from Deerfield Management:

http://finance.yahoo.com/news/NitroMed-Receives-Unsolicited-bw-13751402.html

The stock has barely budged to 0.32; evidently, investors don’t take the offer seriously even though the PR says that NTMD’s BoD is “evaluating” the offer.

I put quotes around the word evaluating because the buyout offer is for cash. What the heck is there to evaluate?