Replies to post #72903 on Biotech Values

[DewDiligence]

IDIX – Does this [IDX899] deal make it any more or less attractive for Novartis to buy out the minority shareholders? I would think it makes it more attractive because a piece of the pie is carved out that strategically probably has more value to GSK than Novartis.

That’s correct. NVS has a right of first refusal to partner each drug in IDIX’s pipeline; however, NVS has no commercial presence in HIV and reasoned that IDX899 was worth more in the hands of a pharma company who did.