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Biotech / Medical : IGEN International -- Ignore unavailable to you. Want to Upgrade?

To: jpbrody who wrote (504)	9/2/1999 11:42:00 PM
From: James Perry	Respond to of 1025

The annual report, coupled with the most recent conference call as recorded on VCall, are inspiring and exciting. Huge markets are opening for Igen, and appears to offer them dominant position. They now have commenced production of their "M" class high throughput machine, and drug companies are waiting for their orders to be filled. The CEO forecasts 100 of those machines will be in place before the end of the year, and that they will produce 10-20 millions in sales of very profitable supplies next year. He predicts a profitable next year, with revenues doubling each year thereafter, for several years into the future. Giving basis to such a prediction is the fact that FDA says the e-coli test is 100 times more sensitive than anything else on the market, and the test for cystosporidium will show harmful bacteria even in the presence of considerable turbidity. That would appear to mean that Igen owns the market for food and water purity testing. Even the figures provided by Roche reflect the fact that at least 5,000 of the 1010 and 2010 machines have been placed, in hospitals and clinical labs, and the suit for unpaid royalties between Igen and Roche continues to draw high estimates of value from analysts. It is suspected that the actual number placed may reach twice that number, and the same type machines will likely be used for food and water testing. Meanwhile, development of a point of care machine continues. Great days are coming! And soon!! Patience rewarded!!!

To: jpbrody who wrote (504)	9/8/1999 5:32:00 AM
From: jpbrody	Read Replies (2) \| Respond to of 1025

I just listened to the latest IGEN management discussion. George Miguasky was speaking at the emerald research conference. It's online at Vcall. I've never heard management be so explicit on the Roche case. Miguasky explicity said that IGEN believes that Roche is only paying half as much as they should in royalties. He also said that the IGEN-licensed Roche products are growing into most of Roche's 20% market share of a $7 billion market. (I read that as saying that IGEN is looking to be getting $126 million/year [9% of 20% of $7 billion] from Roche and that is IGEN's basis for any settlement.) He mentioned that the dispute will probably be settled through a business deal, and that they are in discussion with Roche management (nothing new there). On the basis of that I'm revising my estimate of the buyout to be a minimum of $50/share and it could go as high as (this sounds ridiculous) $300/share. Jim