Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Icebrg who wrote (8826)	7/15/2003 1:43:59 AM
From: Miljenko Zuanic	Read Replies (1) \| Respond to of 52153

Erik, As I mentioned early treatment approach for HRPC changed in last few years, by introduction of the taxotere as first line therapy. So, if SPPI want first line approach they would need to go against Taxotere, not prednisone. Which is very high risk. Platinum based drug as second line therapy may work, but can it compete with others (new) platinum drugs? Second, somehow I do not believe in good cytotoxic ORAL agent. TTP of few months and median survival few months extra does not give oral versus i.v. approach big advantage. At this point I am conservative on Satraplatin. Miljenko

To: Icebrg who wrote (8826)	7/16/2003 12:53:10 PM
From: Icebrg	Read Replies (1) \| Respond to of 52153

Cubist (CBST) I noticed that Matt Hougan (whom I linked to from the Biotech Information sources) wrote the following a couple of days ago with regard to Cubist and Cidecin. CUBIST SCORES A PUFF PIECE Cubist Pharmaceutical's saavy PR team lands a puff piece stunner in Forbes today, with a lengthy article placing them on the front lines of the battle against SuperBugs. It's a decent article, even if it somewhat glosses over the flaws with Cubist's experimental new drug Cidecin. In the end, though, I agree with the article's suggestion that the FDA will approve the drug in the coming months, and that Cubist will rapidly enter the ranks of profitable biotech companies. and a month ago Cubist told us: LEXINGTON, Mass.--(BUSINESS WIRE)--June 19, 2003--Cubist Pharmaceuticals, Inc. (Nasdaq: CBST - News) today announced that it has received notification from the U.S. Food & Drug Administration (FDA) that the agency now anticipates completing its priority review of the Cidecin® (daptomycin for injection) New Drug Application (NDA) on or before September 20, 2003, a three-month extension of tomorrow's original action date. Cubist continues to anticipate the approval and launch of CIDECIN by the end of 2003. A truly digital event coming up. As for the approval it appears to be something of a toss, if FDA has not been able to make up its mind within the normal time allotment. Having a quick look into Cubist's financials show that they have spent about 50 mUSD in 2001 and 85 mUSD last year on their operational needs. They had cash on the balance sheet of 110 mUSD at the end of March, but there was also 207 mUSD worth of long-term debt. Just to enhance the risks. The market capitalization (exclusive of the debt) is "only" 340 mUSD. Not much for a company that is about to turn profitable, if that really is the case. (In many cases it appears as if companies in Cubist's situation actually do not turn profitable - they just gain access to more funds which they can use in their next experiment). It is tempting to take a position here in anticipation of the approval, but the fact that L-T debt is exceeding cash available increases the risk on the down-side. As per some of my recent experiences. Any opinions out there? Erik