Replies to post #153240 on Biotech Values

[DonShimoda]

With Servier picking up the tab, basically XOMA has a free shot on goal in both the ACS and diabetes indications. If either one of them pans out, the company has the ability to reacquire the US/Japan rights. Nice deal.

[mcbio]

XOMA—As compared to the uveitis program, I consider the ACS program licensed to Servier a longshot.

That's presumably offset by the fact that ACS is a much, much larger opportunity than the uveitis program. I.e., despite being more of a longshot, the ACS program might have a higher risk-adjusted NPV given that any success would likely be a huge payoff.