Replies to post #126622 on Biotech Values

[mcbio]

I did a quick listen of the call but since I don't follow the company closely wonder what others think about it. The one thing that would concern me on the call they talked about possibly merging with another oncology company out there. Its one thing to focus on one area when you already have expertise but to buy/merge is a bit of a risk in my book.

I haven't listened to the call yet but am long PGNX so will chime in here. This announcement makes sense to me. Relistor is now entirely in Salix's hands so there's nothing more for PGNX to do with that asset. The HIV-entry inhibitor was the most advanced asset behind Relistor, in Phase 2, but we've discussed before on here how that asset seems to be a dud. The next most advanced asset is the PSMA ADC in Phase 1 for prostate cancer and this at least seems to be an interesting target, even if they don't have any clear PoC at this point. I also posted awhile back about PI3K inhibitors and thought it interesting that PGNX has a dual PI3K/MNK inhibitor (#msg-57049109 ). So, the fact that PGNX announced they will focus on oncology going forward comes as no big surprise to me.

All told, I'm mainly holding PGNX for Relistor, but I will be more than happy if there is a positive development in their oncology programs going forward.

[mcbio]

PGNX update call (9/15/11)

1. PGNX focused broadly across the oncology space in in-licensing or acquisition efforts.

2. The internal PI3K program is apparently only at the research stage and they don't yet have an actual clinical candidate.

3. Regarding PSMA ADC for prostate cancer, PGNX will provide an update in the next few weeks with additional interim Phase 1 results. They have still not reached MTD for the drug and are seeing "good evidence of activity" and PGNX believes they are at the therapeutic window for the drug.

4. PGNX has been in discussions with many potential big pharma partners on the PSMA ADC but apparently wants to wait until they have the full Phase 1 results. PGNX believes that the antigen comprising the PSMA ADC has applications for other cancers beyond prostate.