'very early' stage is overstating it,
and 'the price is quite dear' is an
exaggeration as well.
At September 30, 2006, Infinity had total cash, cash equivalents, and available-for-sale securities of approximately $125 million. In addition, Infinity will receive $35 million in early January 2007 representing the second half of MedImmune's up-front payment to Infinity.
A marketcap of $260M, minus the cash, minus $50M
for the talent leaves a value of $50M for the value
of their Hedgehog program, IPI-504 and the Novartis
BCL program.
Looks to me like it is priced pretty fair. Maybe
there is an expectation that new biotechs out of
the gate should do poorly...in which case people
might get it cheaper.
For me...owning DPII since early summer 2005,
puts me into INFI right around this price. So,
holding DPI, and now holding Infinity with great
expectations, only to see it now finally threatening
to go into the red is a bit annoying. But it does
not seem expensive to me, and I'll hold it even as
it falls. |
