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

To: Biotech Jim who wrote (2945)	11/17/2012 6:27:05 PM
From: DewDiligence_on_SI	Read Replies (1) \| Respond to of 3027

NVS reported unexpectedly weak 3Q12 Lovenox sales about a month ago, and MNTA’s share price has been sliding ever since. The recent decline in the broad market has exacerbated the trend. However, what many investors failed to notice was that NVS’s 3Q12 Lovenox number included a one-time downward adjustment and the Lovenox run rate will increase starting in 4Q12. MNTA’s CFO, Rick Shea, confirmed this on the CS webcast a few days ago. Bottom line: the NPV of MNTA’s 10% royalty stream on NVS’ Lovenox sales is worth $150-190M fully-taxed, based on the arithmetic in siliconinvestor.com . Corollary: After deducting the NPV of Lovenox and MNTA’s cash on hand, investors are currently paying close to nil for the rest of the company.