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

To: idos who wrote (118)	11/16/2006 5:44:42 PM
From: dr.praveen	Respond to of 210

It might be a bit expensive but that doesn't bother me much. I like the novel target and I want to see some solid results before I take a position. I'll be watching them with interest till then.

To: idos who wrote (118)	11/16/2006 9:01:24 PM
From: Mike McFarland	Read Replies (1) \| Respond to of 210

'very early' stage is overstating it, and 'the price is quite dear' is an exaggeration as well. At September 30, 2006, Infinity had total cash, cash equivalents, and available-for-sale securities of approximately $125 million. In addition, Infinity will receive $35 million in early January 2007 representing the second half of MedImmune's up-front payment to Infinity. A marketcap of $260M, minus the cash, minus $50M for the talent leaves a value of $50M for the value of their Hedgehog program, IPI-504 and the Novartis BCL program. Looks to me like it is priced pretty fair. Maybe there is an expectation that new biotechs out of the gate should do poorly...in which case people might get it cheaper. For me...owning DPII since early summer 2005, puts me into INFI right around this price. So, holding DPI, and now holding Infinity with great expectations, only to see it now finally threatening to go into the red is a bit annoying. But it does not seem expensive to me, and I'll hold it even as it falls.