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Biotech / Medical : NNVC - NanoViricides, Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Kirk © who wrote (3349)	12/12/2014 12:04:54 AM
From: Puffer1	2 Recommendations Recommended By HardToFind Kirk © Read Replies (1) \| Respond to of 12871

Kirk - Big pharmas are notoriously risk averse and typically don't step in to partner until Phase II clinical data is available. They would rather pay 10x as much or more for an asset that has been mostly de-risked than to step in early on a preclinical asset. That is due in large part to their historically very poor track record in picking early winners. There are exceptions though in some hot areas of biotech such as cancer immunotherapy like we just saw a few weeks ago where Pfizer signed a deal with Merck KGaA worth $850 M upfront, 2B (that's billion) in milestone payments and a 50/50 royalty sharing agreement on the back end for a drug based only on preliminary Phase I data. I believe a successful flu drug would be worth as much as any cancer drug and you can be assured that a successful Phase I/IIa on FluCide would bring plenty of deep pocketed suitors. Another example I like to point to is Gilead's $11B buyout of VRUS for a Hep C drug just out of Phase II. That's a good one for comparison purposes as the Hep C market is similar in size (dollar-wise) to the Flu market. As of the close today NNVC's market cap stands at $164M.