Replies to post #171082 on Biotech Values

[DewDiligence]

Your ENTA [target market cap]=$1.3B is a very low number.

I aimed to make my ENTA valuation model in #msg-92234861 conservative, especially with respect to pricing, where I assumed a blended average selling price in the US and EU of $25K for ABBV/ENTA’s 3-DAA regimen.

In light of GILD’s $1K-per-day US list price for Sovaldi, it’s probably safe for me to raise the $25K figure in my ENTA valuation model.

There is no sense for ABBV send royalty checks to ENTA and, potentially in a future, have plenty of problems with another ENTA acquiring company.

It’s reasonable to surmise that ABBV and ENTA have had in-depth discussions about an acquisition. The hang-up (IMO) is probably disagreement over how much value to ascribe to ENTA’s EDP-239 partnership with NVS.