Replies to post #152513 on Biotech Values

[iwfal]

MNTA -

The company is back to burning cash with little near term chance that will change.

The concept that MNTA could copy drugs that others would not be able to do has been smashed. So even if MNTA does it again with Copaxone - how long will the advantage last?

And if MNTA can do it again with FoB's how long will the advantage last? IF MNTA's tech was really advanced, why hasn't some pharma taken them out?

Well, I hope that WS (and industry) buys into the above argument!

More seriously, we discussed most of the above critiques in various threads on this board and, most recently (i.e. yesterday), on the Momenta board. Your commentary would be welcome (by me, anyway).

[DewDiligence]

I don't think MNTA ever used up their TLCF (tax loss carry forwards). And they are again losing money.

Two points:

1. MNTA did exhaust all—or almost all—of its tax-loss carryforwards.

2. The value of the Lovenox royalty stream to another company that pays taxes must be computed on an after-tax basis; hence, the after-tax value is what dictates how much MNTA could expect to obtain by monetizing this asset.

[pollyvonwog]

Hey Zip,

I take it you don't give MNTA very good odds to have the ridiculous CAFC decision to be reversed?