Peter --- forgive a quick answer, but I am rushed!! AHP currently owns about 53% of IMNX. The standstill agreement does expire in May 1998. AHP may or may not acquire IMNX, but when faced with a similar scenario with Genetics Institute, they bought. I have no idea which way they will jump, and probably neither do they at this point in time. It all depends on how IMNX looks after May and the company's stock price at that time relative to its prospects.
I don't think the loss of payments will impact the stock, in part because an AHP subsidiary, Wyeth-Ayerst, has already agreed to make further milestone payments to help IMNX develop and market Enbrel. Now I can't remember the exact amount here, but its around $100 million. Also, in addition to these, W-A will be picking up the all commercial expenses for the crucial first two years of the product launch (they will be shared after that). In my view, this is a great deal for IMNX. |
