SVNT announced AHs that it will put the company up for sale
as soon as Krystexxa is approved this Sept. Analysts estimate Krystexxa will have peak worldwide revenues of approx $1B. SVNT's acquirer will have to pay some multiple (2-4x?) of peak worldwide revenue estimates. Krystexxa will be the only orphan gout drug in the world that eliminates gout tophi rapidly(in 6-12 months) vs 2-4 YEARS.... for Allopurinol and Febuxostat. There are an estimated *5 MILLION US gout patients and double that worldwide(*10 MILLION). If SVNT captures just 1% of the treatment failure world gout mkt(around 100k patients) at approx $20k/yr,Krystexxa's peak worldwide revs will be around $2B. SVNT will likely be acquired at some agreed multiple of peak revenue estimates(30-35/sh). To give a comparison, DNDN currently is selling for over 7x peak rev estimates. If SVNT is sold at just 4x peak US-only rev estimates of $500M($20k/yr x 25k US patients), SVNT's mkt cap is $2B or 30/sh. Also, if one factors in the EU and Japanese markets these estimates get bumped up significantly.