Message from Udo W. Perkuhn on Nov 8 1996 3:53PM EST
Does CIST now own full rights? I have not read the entire agreement but it seems
the headlines suggest that the settlement from IMNX is without admission of wrong
doing? Does that mean IMNX can continue to use product without further
licensing?
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Full rights? Good question. One IMNX patent claims the clipped molecule, the molecule that ICE has processed. IMNX also has claims relevant for IL-1alpha. This is what I *feel* may have happened, and it could be very good for CIST. It also answers your second question.......
First, IMNX has no remaining interests in IL-1beta. The project has been dead at IMNX for a long time. Therefore, licensing with IMNX is not an issue. However, this may be very good for CIST. First, if CIST got the IL-1beta claims relating to the clipped, active molecule, then any remaining clinical efforts involving IL-1beta would need, IMO, to proceed through CIST. Second, while IL-1alpha is useless to IMNX, it would provide another proprietary product for CIST to market as a research reagent. We need to remember that this was a settlement negotiated by the judge. CIST had asked for much more than $21 million, and I *feel* that IMNX saw that they were going to lose in front of a jury, and that they cut their cash losses by negotiating with (and throwing in) patent claims that CIST can leverage. There's a big difference between a reagents company that wants a few products that do $0.5 - 2 million/year and a budding pharmaceutical that is looking for nothing less that $100 million/year for each product. I *feel* that CIST may have just found themselves in settlement heaven, getting guaranteed cash without the risk of the jury, _and_ getting intellectual property that will give them new flexibility.
Clearly, we need clarification from CIST management with respect to what IMNX patents were a part of the settlement, and what they believe they can do with them. Again, I suspect that IMNX threw in patents that were of little value to them, but which will solidify the CIST grasp on IL-1. The more I look at CIST, the more I conclude that they have flexibility up their wazoo............. that there's sufficient money coming in four days so that they can develop the reagents business, AND go after past sinners (those that have violated the patent), AND continue to benefit from companies with clinical interests (including their own diagnostic efforts in periodontal disease) in IL-1 and/or PAI-2.
The last time I felt so "open and shut" about an investment was BIOI. It went up about 10X within a year. Unfortunately, I bailed at my target, about 3X.
I still plan to post some abstracts on PAI-2. I'm trying to switch operating systems (3.1 to W95), and I installed the new 32 bit version of the Netcom interface. Something is not shaking hands. :-)
Disclaimer: Facts would be a hell of a lot better than *feelings*. Everything proposed above may be way off target, and everyone knows the old saying...... if it looks too good to be true........
Cheers! Rick |
