Perspectives on biotechnology vary. Interest often begins with the hope that an effective treatment will be found for illness. Beneath that, there can be true innovation as existing knolwedge and practices are built upon or revised. However, private enterprise may play an important role, which leads into issues such as drug pricing and executive pay. Apart from that, sometimes treatments have unknown effects that make persons worse off than if they had never tried an experimental medicine. Additionally, product candidates that indicate safety tend to subsequently prove ineffective. Amid all of these matters, feelings may manifest about the involvement of laboratory animals.
There may be other factors that are not as widely recognized. Before the internet brought about the collapse of the print publishing industry, we would not have had persons blogging about health conditions. It must be difficult enough dealing with serious maladies; sometimes healthcare practitioners and staff may have attitudes that do not seem supportive. The commentary of anyone with an internet connection might in fact aggravate, whether designated as journalism or not.
In 2007 and again in 2011, and pursuant to years of research, Alexion Pharmaceuticals (ALXN) finally was able to offer a treatment for two extremely rare diseases. The corporation was the creation of Dr. Leonard Bell. It has since been through different leaders, and moved its headquarters to Boston in recent years.
After having paid close attention over time to gain what must be esoteric knowledge of how a relevant portion of our immune system works, an observation during 2017 that patients were ceasing to enroll in a trial of a product intended to compete with Alexion’s, that appeared quite safe and had data indicating efficacy, caused a sense of extreme criticism toward persons who haphazardly publish on clinical research. Indeed, even if carrying on under the guise of professional journalism, online writing showing little understanding of sickness or promising technologies may have worked against patient willingness to participate in studies. All one could do, evidently, is try and keep the blogging to other areas, and recognize that, no matter how popular they may be, some products such as STAT News may not be worth a subscription $1.
It since became evident, independently and quietly, that Achillion Pharmaceuticals (ACHN) is among firms that have potential treatments for another serious, rare disease, that is associated with the same system, C3 glomerulopathy (C3G). Data from Achillion was most compelling. However, a third firm, Switzerland’s Novartis (NVS), has an experimental product that, hypothetically, may have been preferred to Achillion’s. Achillion does sponsor a web site about the condition, and it may be viewed as substantially better than blogger commentary, if nothing else.
Alexion’s technologies also have pending competition from Ra Pharmaceuticals, which is also located in the Greater Boston area (RARX). To my knowledge Ra’s experimental product is similar. However, it is not topical here.
Achillion had positive data about its product with regard to a different illness, one of the two that Alexion’s flagship product made its name, and a fortune, treating under Dr. Bell. Competitive efforts toward that indication apparently ceased. Subsequently and recently, Alexion recently made an offer to buy out Achillion.
Because of the time and energy previously spent, my confidence is high that Achillion’s treatment will eventually be approved for C3G. Again, my preference is to avoid blogging about any detail. It may not ultimately be better than a potential Novartis product.
The agreement is for $6.30 per share in cash, plus contingent value rights. However, ACHN shareholders whose stock is bought out by Alexion can potentially earn $1 per share merely upon approval within a specified amount of time. If Novartis ultimately has better data it would actually be encouraging. There is a separate potential for another $1 payout that would occur several years in the future, with initiation of a phase 3 trial for a different Achillion product–my insight into its likelihood is lacking. The allotted deadlines to be met for each contingent payment of $1 is missing information.
There are risks that the deal will fall apart. However, the offer appears full and fair. Though Alexion’s price for its treatments is exorbitant, the diseases it treats are extremely rare, which can explain the absence of backlash. It is not obvious why regulators or investors would oppose the purchase; unless the purchase price is considered too low.
The transaction is expected to close in the first half of 2020. The stock currently trades at $6.21. I have an order to invest if it drops as low as $6.08.
If the buyout is completed, the gain would then be about 3.6%, potentially within 7 months. This would be before the risks involving the contingent value rights. $1 per share, provided that the US FDA finds that Achillion’s hopeful treatment for C3G is safe and effective, is the incentive.
1/27/20
Regulators have apparently given the merger a green light and the stock is now trading at over $7 per share in the pre-market hours. I have just placed an order to sell 61.5% or my shares. Though optimistic that there will be an approved product, and it is needed, the stock is otherwise only worth its $6.30 buyout price.
1/28/20
My order yesterday did not fill. Trading of the stock is halted and the merger is underway. $6.30 in cash plus two separate contingent value rights is the deal. Over 3.5% within one month is a solid return of itself.
There may be other factors that are not as widely recognized. Before the internet brought about the collapse of the print publishing industry, we would not have had persons blogging about health conditions. It must be difficult enough dealing with serious maladies; sometimes healthcare practitioners and staff may have attitudes that do not seem supportive. The commentary of anyone with an internet connection might in fact aggravate, whether designated as journalism or not.
In 2007 and again in 2011, and pursuant to years of research, Alexion Pharmaceuticals (ALXN) finally was able to offer a treatment for two extremely rare diseases. The corporation was the creation of Dr. Leonard Bell. It has since been through different leaders, and moved its headquarters to Boston in recent years.
After having paid close attention over time to gain what must be esoteric knowledge of how a relevant portion of our immune system works, an observation during 2017 that patients were ceasing to enroll in a trial of a product intended to compete with Alexion’s, that appeared quite safe and had data indicating efficacy, caused a sense of extreme criticism toward persons who haphazardly publish on clinical research. Indeed, even if carrying on under the guise of professional journalism, online writing showing little understanding of sickness or promising technologies may have worked against patient willingness to participate in studies. All one could do, evidently, is try and keep the blogging to other areas, and recognize that, no matter how popular they may be, some products such as STAT News may not be worth a subscription $1.
It since became evident, independently and quietly, that Achillion Pharmaceuticals (ACHN) is among firms that have potential treatments for another serious, rare disease, that is associated with the same system, C3 glomerulopathy (C3G). Data from Achillion was most compelling. However, a third firm, Switzerland’s Novartis (NVS), has an experimental product that, hypothetically, may have been preferred to Achillion’s. Achillion does sponsor a web site about the condition, and it may be viewed as substantially better than blogger commentary, if nothing else.
Alexion’s technologies also have pending competition from Ra Pharmaceuticals, which is also located in the Greater Boston area (RARX). To my knowledge Ra’s experimental product is similar. However, it is not topical here.
Achillion had positive data about its product with regard to a different illness, one of the two that Alexion’s flagship product made its name, and a fortune, treating under Dr. Bell. Competitive efforts toward that indication apparently ceased. Subsequently and recently, Alexion recently made an offer to buy out Achillion.
Because of the time and energy previously spent, my confidence is high that Achillion’s treatment will eventually be approved for C3G. Again, my preference is to avoid blogging about any detail. It may not ultimately be better than a potential Novartis product.
The agreement is for $6.30 per share in cash, plus contingent value rights. However, ACHN shareholders whose stock is bought out by Alexion can potentially earn $1 per share merely upon approval within a specified amount of time. If Novartis ultimately has better data it would actually be encouraging. There is a separate potential for another $1 payout that would occur several years in the future, with initiation of a phase 3 trial for a different Achillion product–my insight into its likelihood is lacking. The allotted deadlines to be met for each contingent payment of $1 is missing information.
There are risks that the deal will fall apart. However, the offer appears full and fair. Though Alexion’s price for its treatments is exorbitant, the diseases it treats are extremely rare, which can explain the absence of backlash. It is not obvious why regulators or investors would oppose the purchase; unless the purchase price is considered too low.
The transaction is expected to close in the first half of 2020. The stock currently trades at $6.21. I have an order to invest if it drops as low as $6.08.
If the buyout is completed, the gain would then be about 3.6%, potentially within 7 months. This would be before the risks involving the contingent value rights. $1 per share, provided that the US FDA finds that Achillion’s hopeful treatment for C3G is safe and effective, is the incentive.
1/27/20
Regulators have apparently given the merger a green light and the stock is now trading at over $7 per share in the pre-market hours. I have just placed an order to sell 61.5% or my shares. Though optimistic that there will be an approved product, and it is needed, the stock is otherwise only worth its $6.30 buyout price.
1/28/20
My order yesterday did not fill. Trading of the stock is halted and the merger is underway. $6.30 in cash plus two separate contingent value rights is the deal. Over 3.5% within one month is a solid return of itself.