When is everyone going to stop talking and start consolidating? Immediate value, near-term, to shareholders will be maximized by pharma sticking their nose in.
I'd prefer to see the good companies consolidate and go forward as competitors to pharmas. It's simple, but it's happening so damn slowly. Egos.... weak Boards and management egos.... CEOs who aren't willing to be COOs going forward, communicating with CFOs that don't want to start hunting for jobs (regardless of options under belt).
Silly.
OK, another way of doing valuation.... how much do you figure your favorite biotech is worth, given a straight cash buyout by a pharma? What would they pay for the infrastructure, patents and pipeline?
I made a call yesterday. A dollar (target) call. I rarely do such. The last time I made a take-out call, it was over beer with a bunch of SI biofreaks in Palo Alto, AGPH at $70/share. At the time, AGPH was getting clobbered nearing $20, and I was roundly declared insane. Regardless of whether or not that declaration was (is) correct, my call was damn good.
;-)
So.... yesterday..... 12 month target for GLIA at $60/share. Whether that is reasonable or not (I'd appreciate debate), it's at least a call. So..... challenge to the thread..... what would Schering (Berlin) or [pick the pharma of your choice] pay for CELG? for CORR? for TKTX? etc. |
