Replies to post #2682 on Biotech Values

[DewDiligence]

>> Was GENR driving too hard a bargain or is there some other factor working here? My guess is GENR and Merck talked. <<

It’s close to 100% that the two companies talked, at least casually.

GENR may be overplaying its cards, thinking it has a royal straight flush when in reality it has a full house. Based on GENR’s ASCO press release, Levitt may still believe –or pretend to believe-- that Squalamine has a great future in cancer. If so, this would present an obstacle to bringing a licensing deal to fruition.

[mskatiescarletohara]

I wonder why Merck would choose to enter the race so late in this way, given the problems associated with monthly intravitreal injections.

Merck has plenty of money to spend, so with Lucentis and Macugen entering the market, they apparently feel they need to have a potential competitive presence.

Squalamine is more advanced in their testing with good results and avoids the injection problems

I wonder if pharma is skeptical about Squalamine's MOA, and long term effects. One could postulate pharma is waiting on more conclusive Phase II results. Pharma could be in 'convince me' mode and maybe GENR management doesn't want to deal yet, and feel they can negotiate a more lucrative deal with interim Phase II results.

katie...