Replies to post #80724 on Biotech Values

[DewDiligence]

Re: VRTX Seeks to Monetize Telaprevir EU Milestones from JNJ

Any guess on the risk adjusted discount (aside from the NPV discount)?

My guess: VRTX can get a lump-sum payment of $150-175M, i.e. a 30-40% discount that takes into account both the present-value arithmetic and the risk that the milestones won’t be triggered on time (or at all). What do you think?