This has to be one of the most boring trading stocks in biotech. I haven't looked but the beta seems absurdly low, just from watching it over the last few months. A 1% wiggle on this news, which is an average day here. Just kinda strange.
Anyhow, I guess I agree with Fitzdad, this could be a smart move. A mere nuance for Amgen, which now sort of has a fuzzy option with no price (presumably there is some definition of what a good faith negotiation is before Xencor can talk to others). If the data are good in RA, I would think Xencor would simply out-license that indication per the new contract.
So RA still matters, and I still have the concern. Apparently, Xencor & Amgen do, too, a little bit.
Cheers, Tuck |
