Replies to post #89393 on Biotech Values

[mcbio]

Re: ACHN dilution

you actually worry too much about dilution.

If they raise a lot of money the stock will be able to go up because they will have enough money to progress the drugs further. If the drugs show good results the Hep C market is big enough to maintain a high market cap.

I wouldn't say that I'm worried, just preliminarily a little disappointed. But I need to know how many shares will be offered. Yes, raising cash is good and a necessary evil to some extent, but it also begs the question of whether or not ACHN will be able to land a partner for ACH-1625 in the near-term or if they'll in fact have to wait until Phase 2 results before they get a deal. I.e., are they raising cash because it was becoming apparent they weren't going to get a deal done on the terms they wanted based on the clinical data for ACH-1625 to date? That's my biggest concern as I see a partnership as the main value-driver in the near-term. And I absolutely do not want to have to sit through Phase 2 results (read: another major binary event) before a partnership is consummated.