RGS (ASX) Ann: Regeneus and AGC collaborate on Progenza in Japan

Originally posted by TDA ↑

Hey mate good to see you around here!

Yeah they've given 50% away but have gained in so many more ways imo. I'm away ATM so can't go as indepth as I'd want to, there's fishing, snorkling, boating and beer to be done

This is just for Japan and they also get their 50% cut on any sublicensing and additional indications. They have also gained a very valuable partner/manufacturer/funder who knows and operates in the Japanese market and knows the regulatory landscape and pharmaceutical industry players, they also have manufacturing capabilities in Europe and the US which could become quite useful in the future!

I think it best, as a small player, to partner and have the nessesary funding to timely achieve market share and presence, how many times have we seen good ideas/tech/science go to waste due to low level access to funding, small teams running on oily rags and nothing getting done in a timely manner to gain market share and access, I think that's most of the Aussie biotech sector!

There's much more the company has also and can concentrate on those opportunities as well, especially now funding and manufacturing is taken care of!

There's more to say but for now I need another beer and have to have a talk to these annoying Island cockatoos who are making a racket

Have a good one all, I did expect more of a bounce but that shall come I'd say.

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Ok, had more beer, talked the cockatoos down and also a peacock that sounds like a child screaming, damn peacock

So a similar partnering that was hailed as a huge success by the market was when Alchemia partnered with Dr Reddys who also did all the manufacturing and they had a 50/50 split, analysts and the market alike loved the deal for this generic Fondaparinux (I was a holder from 10c and saw the 80c area).

This deal was for the US only and they had the same sort of arrangement for Europe and ROW (rest of world), though it was more a percentage than an even 50/50. The unfortunate thing for Alchemia was that it was a generic drug (again the deal was a massive win for this small biotech) and once they gained FDA approval the Branded drug maker Glaxo Smith Kline simply bought out an authorised generic and thwarted the earnings plans as they too discounted their own drug.

THIS WILL NOT HAPPEN HERE

So I guess what I'm saying is that this deal should be looked at favourably and that we should look at the fact that we could see licensing in places like Europe and the US and many other countries coming to a store near you soon

This is big, this is a company maker, this paves the way to commercialisation with a large backer who obviously likes the science. Yes there's a way to go but not many get this type of deal this early on in the piece unless great value is seen.

Have a good New Years all......

Ok, had more beer, talked the cockatoos down and also a peacock...