Replies to post #133761 on Biotech Values

[HattieTheWitch]

I would have preferred to see MNTA ink more lucrative terms in a deal for one or two FoB’s rather than a somewhat less lucrative deal that incorporates as many as six FoB’s and has a large number of moving parts.

And, unless I read things wrong, BAX has first right of refusal on products beyond 6 - meaning (to me) that the terms agreed to today, be they good, bad, or indifferent, will apply if BAX wants in on future "stuff".

That doesn't leave MNTA in a good negotiating position, once, as I presume will eventually happen, Mr. Market establishes a higher pps because MNTA will have better "proven" its value.

Your (and anyone else's) comments appreciated.

[iwfal]

Moreover, I would have preferred to see MNTA ink more lucrative terms in a deal for one or two FoB’s rather than a somewhat less lucrative deal that incorporates as many as six FoB’s and has a large number of moving parts. However, it does not follow from the above that I think MNTA got “screwed,”

1) "BAX got the better of MNTA" (aka "screwed") was your interpretation not mine. I've always said something is different than our expectations since the deal is less than either you (as evidenced by the post to which i am responding) or I expected. "Screwed" is only one possibility - but even it comes with nuances. Are they inept bargainer? Does the entire industry fail to recognize MNTA sauce but MNTA had to make deal or lose out forever, ...

2) my personal opinion is that the deal is a result of a mix of things: more competition is expected than you think and the industry, in it's mad enthusiasm for biosimilars, discounts the difficulty of what MNTA brings (and thus MNTA cannot get the value expected). As a result of the last (inability to get industry recognition) I'd expect them to focus more on things where industry recognition is less important (e.g. Biobetters)

[dewophile]

I would have preferred to see MNTA ink more lucrative terms in a deal for one or two FoB’s

i never expected a deal to be for a very limited # of FOBs like just 1-2 since much of what MNTA brings to the table is know-how and IP which will be incorporated in the manufacturing process - i.e. whoever gets the first FOB will have the formula so to speak