" Final ThoughtsĪt this point it appears quite likely that bb2121 will successfully navigate the maze to approval, with all the usual caveats. In my prior piece, I noted that "a correction into the low $90s (which did occur) could be a solid buying opportunity for long-term investors while compelling data from the phase 1 study of bb2121 should provide a decent floor to the share price. This was even more impressive when one considers that patients were heavily pretreated (median 7 lines of prior therapy and all previously underwent autologous HSCT).įigure 2: ASCO data (Source: Corporate presentation) To recap, early data revealed that 100% of patients (n=18) with relapsed/refractory multiple myeloma achieved objective responses. To date no dose-limiting toxicities have been observed. Impressive data consisting of strong efficacy and a differentiated safety profile make this one somewhat of a no-brainer. It is my firm belief that there will be plenty of funds rotating into Bluebird as the new CAR-T play of choice after the acquisition of Kite. In regards to the latter indication, I remained optimistic as stabilization of in vivo VCN compares favorably to that of patients from HGB-206 initial cohort. I noted that data for Lenti-D in Cerebral Adrenoleukodystrophy was positive and approval likely, with peak sales of around $200 million in this indication appearing tiny but pointing out that the real boost would come from the added credibility for getting its first treatment across the finish line.Īs for Lenti-Globin in transfusion-dependent beta-thalassemia (TDT) and severe sickle cell disease, I stated that in the first condition new data from the HGB-205 study revealed that three patients experienced transfusion independence for up to 3 1/2 years and have discontinued iron chelation therapy, showcasing the durability of benefit of the drug candidate. I expect the tailwind has the potential to last into the fourth quarter and beyond (especially if other acquisitions occur), boosting the biotech sector to new heights of optimism as well as positively affecting the Runner of the Year model account.įigure 1: Is $330 the next stop? (source: YCharts) The Current PictureĪfter the stock had already risen over 40% since my original article, I revisited bluebird bio at the beginning of July after a secondary offering in which they hauled in around $350 million with pricing at $105. Even if Gilead does not acquire again in the near term, there are plenty of other cash rich biotech and large pharmaceutical companies with the firepower to do so. Even after the acquisition the larger company would still have well over $25 billion in cash, leading me to believe further deals are possible. The firm put their cash hoard to good use gobbling up Kite Pharma for $11.9 billion or $180 per share. Today Gilead investors finally got the news they had been waiting for so long- a transformational acquisition.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |