From the INSM Annual Report. See the last sentence.
Premacure (now Shire plc) - In May 2012, we entered into an agreement with Premacure pursuant to which we granted to Premacure an exclusive, worldwide license to develop manufacture and commercialize IGF-1, with its natural binding protein, IGFBP-3, for the prevention and treatment of complications of preterm birth (the “Premacure License Agreement”). In March 2013, we amended the Premacure License Agreement to provide Premacure with the option, exercisable by Premacure any time prior to April 30, 2013, to pay us $11.5 million and assume any of our royalty obligations to other parties in exchange for a fully paid license. If Premacure exercises this option, we would not be entitled to future royalties from Premacure.
If this had been a straight forward news item from WL and INSM, it probably would have been viewed as a boost along with a couple of other interim milestones. But with the "interpretations" about everythine from new hires (labelled by WL labelled as "coincidental") to Iplex to partnerships to $billion "fantasy market caps", the status of the company gets blurred for analysts. I think the loss in SP is also related to the higher rate of burn which was, in part, due to off-loading Whitten and LaBella. The SP is also artificially lowered because no one wants to sell because they anticipate WL's next statements. Lets face it, posters used to criticize every CC from GA and TW because there was no solid information. This guy WL has been a fireball of concise statements about progress and milestones.
But the outcome of the dog study was predictable from the get-go for anyone who knew anything about the preclinical scientific issues.
Sentiment: Strong Buy
The dog trial results have been built in the share price around $6.70 which is the price of the merger.The iplex farce here has now been proven for what it always has been since the company dropped the drug in 2009, for 11 million in rights.,not billions from the clown car.NTM is an orphan drug with a small population.Extrapolating out because of "possible or potential" additional markets is an exercise in hypothetical nonsense from the biggest spammers here.The risk to investors is NTM is required to do a Phase3 trial,which no one knows, including the company if that is the future of Insmed...for a couple more years.....and before you tell me it wont happen,put that very real possibility in your risk collumn, I guarantee those who are paying 67 cents are.
But the outcome of the dog study was predictable from the get-go for anyone who knew anything about the preclinical scientific issues. Less
So nobody at the FDA knew anything about the preclinical scientific issues?? Perhaps they only asked for the dog tox study to be mean.
Your arrogance does put you in a really unique class...
jb, Don't miss the forest for the trees! Premiplex is a short-term treatment for a very limited population with a small upside potential but huge upfront production costs. Insmed has a great long-term treatment drug in Arikace that is knocking on the door of FDA, EMEA and Canadian approval for over a billion dollars in potential revenue and enormous upside. If Shire chooses to buyout the royalties for Premiplex that would only apply to the condition of ROP and any further and larger indications still belong to Insmed, including ALS, MMD, Duchennes, HARS, etc. That's the upside for Iplex, and now we have the foot in the door with a big pharma that has dreams of bringing Iplex back to the market, even sending their EVP to Insmed to run our commercialization. And Lewis said it was "coincidental." Hah, hah, hah....
Sentiment: Strong Buy
Robert, Robert ROBERT, you know better than this headline....come on dude, we told you not to sell at $4......DOG study good----who were the people doubting these results a few weeks ago???
Perfect timing....Russell buyers will look at all this information and our new partner....and know it is time to buy......
Come get us Russell!
I think they Shire and Premacure are going "crash the boards" and get the CRM production for the Premiplex up in a hurry. If they do, that will bring into focus any other discussions about other Iplex outlicenses. It will be interesting to see if they choose a US CRM first (where the masterfile is already approved) or pursue a European CRM where they will have to file based upon the withdrawn file from Iplex Short Stature. It seems that since EMEA has already approved the ROP study, that they have tacitly agreed that the manufacturing of Premiplex can be exactly like the US version, including the mass spectroscopy analysis for purity. We shall see.
Sentiment: Strong Buy
I see the last sentence, but I interpret that to mean they wouldn't get the royalties from Premacure...but that they would still get royalties from the 3rd party. Am I missing something here? Or, is Shire still liable for setting up a "fully paid license" with us?
H - Shire would be responsible for any royalties due to third parties. I think that Accugrowths topic title is a bit of a misnomer, however. For 11 Million, Shire would own iPLEX for ROP, but as Lewis pointed out it may also give them the incentive to make the much larger investment necessary to gear up to produce iPLEX on a large scale. ALS, MMD, HARS, Diabetic retinopothy, etc. would each be licensed separately - at least that is my interpretation. We all know that their is a long list of disease that iPLEX always had the potential to treat. Why not give Shire complications of prematurity for 11Million, in hopes that jump starting manufacturing may get other trials underway?
There are a large number of the August 7.5 call options trading today - somebody, somewhere, is betting that Insmed is going to appreciate markedly over the next few months.