Replies to post #140509 on Biotech Values

[ciotera]

…it sounds as if GILD is not going to push forward with Phase 3 combo trials involving BMY's daclatasvir (if you believe the hearsay).

GILD is obviously going to pursue an in-house combination, as evidenced by the finishing sentence of the ELECTRON PR, "We look forward to more data unfolding as our trials progress and we expect to initiate additional studies with GS-7977 in combination with other oral antivirals in our pipeline in the coming months. Our goal is to develop a short, simple, safe and effective single tablet regimen for HCV patients throughout the world." They couldn't make it any clearer than this and it would be stupid not to try to develop your own if you have all of the required pieces.

But it doesn't necessarily mean that they won't collaborate. There are many good reasons to continue the partnership with BMY, not least of which is the company's image and reputation. We all remember what happened when ABT put profits ahead of patients in HIV. Sure, the advocacy groups here are not as vocal, but there will still be significant damage. I think GILD's initial rejection of the BMY offer could be a negotiation tactic to wrestle a more lucrative deal. Until we hear officially from GILD management that the collaboration is dead, I would not put much stock in this rumor.