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Biotech / Medical : Ligand (LGND) Breakout! -- Ignore unavailable to you. Want to Upgrade?

To: Machaon who wrote (24434)	8/12/1998 11:04:00 PM
From: Henry Niman	Read Replies (1) \| Respond to of 32384

Bob, SRGN got as far as a 14-0 recommendation for approval at the FDA.

To: Machaon who wrote (24434)	8/13/1998 10:40:00 AM
From: growthvalue	Read Replies (1) \| Respond to of 32384

"That means that "we" as shareholders just bought around $220 million in drug development and science, and a revenue producing drug, for about $75 million, providing that ONTAK gets approved. That's a $145 million discount, otherwise known as a fire sale." Sounds like "growth flow" reasoning - the fact that $220 million was spent on SRGN's R&D in no way guarantees that the results of that R&D is worth $220 million. The market value of SRGN prior to the LGND acquisition suggests that the $220 million was not entirely well spent. You as an individual investor could have picked up shares of Seragen for even more of a "fire sale" before the acquisition. I'm not saying LGND overpaid for SRGN, but you can't conclude that LGND got a great price based on this reasoning.

To: Machaon who wrote (24434)	8/13/1998 11:05:00 AM
From: Mudcat	Read Replies (2) \| Respond to of 32384

<"we" as shareholders just bought around $220 million in drug development and science, and a revenue producing drug, for about $75 million> The above is just more of the Barry convoluted logic. I look at it this way, SRGN has 28.1M shares outstanding, in April they were about 40 cents a share. This equates to a market cap of $11.2M. So I see "we" shareholders paying $75M for a company that was close to bankruptcy with a market cap of approximately $11M. Funny how we see things so different Barry.