this stock is undervalued, page-49

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    This is continued from Post#: 9793714 on this thread in regards to speculating a potential link between 3M/OBJ/GSK for the development of new vaccines.

    VaxInnate is a small privately-held biotech company, backed by The Wellcome Trust in the development of new vaccines, and in addition to the link with GSK, what makes this small biotech company more interesting is the list of high caliber management and board of directors...

    Philippe Chambon - former Director of Sandoz Pharmaceutical's
    Augustine Lawlor - Director of Human Genome Sciences, Inc
    Wayne Pisano - former President and CEO of Sanofi Pasteur
    Seth Rudnick - former Head of research at Johnson & Johnson
    David Williams - former Chairman of Sanofi Pasteur
    Katalin Abraham - former Director of Regulatory Affairs at GlaxoSmithKline
    Christine Mayer - former VP of Global Business Development at Sanofi Pasteur
    Lynda Tussey - former Program Leader at GlaxoWellcome

    November 2009
    3M Drug Delivery Systems licenses vaccine adjuvants to VaxInnate
    3M Drug Delivery Systems has signed an agreement with VaxInnate under which VaxInnate acquires the use of 3M's patented toll-like receptor, or TLR, agonists for use as vaccine adjuvants. Under the terms of the non-exclusive licensing agreement, 3M provides its TLR agonists to VaxInnate for an undisclosed licensing fee, in addition to milestone and royalty payments. Alan Shaw, CEO of VaxInnate, said: "The combination of VaxInnate's proprietary vaccine technology with 3M's TLR agonists could improve vaccine potency and make a major contribution to global public health. We look forward to this collaboration with 3M. - Source

    November 2009
    OBJ Enters into Materials Transfer Agreement
    OBJ wishes to advise shareholders that it has entered into a Materials Transfer Agreement (MTA) with 3M Corporation. The Materials Transfer Agreement sets the parameters for an initial in vitro testing program to evaluate the performance of the eM-patch® technology in conjunction with 3M drug delivery platforms and proprietary formulations. OBJ's technologies have been shown in multi-centered university studies and independent commercial evaluations to enhance transdermal drug delivery of a wide a wide range of commercially significant drugs and peptides.

    In 2011 I posted, 3m - a really big skincare story coming to highlight 3M's new microchannel skin system which incorporates a disposable and cost effective 'poke and patch' technology. The "micro-needle" device which incorporates 3M's proprietary microreplication and micromolding technologies is pressed into the skin first for only a few seconds leaving "microchannels" prior to dermatological applications and procedures. Clinical studies with the device had shown it to provide the same efficacy as the standard needle and syringe.

    In April 2012 OBJ advised that it had been "working with the University of Queensland and in particular Dr Tarl Prow in the development of enhancing micro-needle performance with the addition of OBJ’s ETP magnetic technology. OBJ’s ETP technology, when integrated into a traditional micro-needle delivery system, showed substantially greater drug delivery than micro-needles alone. The resulting technology was the subject of a recent patent application and the results of that work were presented at the PPP Drug delivery Conference in France early in the month by OBJ Director, Dr Chris Quirk."

    What OBJ did not advise the market is that the 2012 PPP Drug delivery Conference in France was sponsored by 3M and as published by the world's leading and most prestigious peer-reviewed scientific publishing group the work carried out on OBJ’s ETP technology combined with a micro-needle delivery system indeed involved the 'poke and patch' technique.



    We should also be reminded that OBJ Director, Dr Chris Quirk is no stranger to 3M, and was also the principal investigator for 3M Pharmaceuticals, USA in their clinical trials of Aldara - a cream for the treatment of basal cell carcinoma.

    In 2011 OBJ also advised, "Following the completion of initial work under the MTA agreement 3M have remained a major collaborator with OBJ, offering key fabrication expertise and exploring large opportunities for OBJ's magnetic array applications in the consumer, healthcare, and pharmaceutical fields."

    We also know that;

    "OBJ has established itself as a technology and innovation partner to a number of the world’s leading medical, consumer products, healthcare and cosmetic companies. It is the only company in the world offering unique patent protected drug delivery and product performance enhancing technologies which utilise the interaction forces generated between molecules and magnetic fields to change the way molecules move in and through the skin and hair follicles. These enable OBJ to offer global partners a cost-effective and innovative way to enhance the performance for a wide range of applications to levels that are not even possible using costly formulation chemistry."

    Back in 2010 GSK released the following news:

    Deal Provides Vaccines to Poor Nations at Lower Cost
    Pfizer and GlaxoSmithKline will supply hundreds of millions of doses of their pneumonia vaccines to the world’s poorest countries at heavily discounted prices under a novel agreement announced Tuesday. Under the agreement, Pfizer and GlaxoSmithKline will provide up to 300 million doses each of their vaccines over a 10-year period. The price for the first 20 percent of the supply will be $7 a dose. Then the price will drop to $3.50 a dose for the remainder. The vaccines would be paid for by donations raised by GAVI and by the governments of the countries that ordered the vaccines. In Western markets, the pneumococcal vaccines sell for $54 to $108 a dose. The agreement is the first example of GAVI’s program called advance market commitments, in which donor money is used to essentially guarantee a market for vaccine companies if they undertake development of vaccines for poor countries, or if the companies agree to build extra capacity to supply those markets with an existing vaccine. Such a strategy, if it works, might be particularly useful in spurring companies to develop vaccines for diseases like malaria, for which virtually the entire market would be in developing countries. But GAVI, which is also known as the Global Alliance for Vaccines and Immunization, still needs to raise another $1.5 billion by 2015 to pay for the procurement and distribution of the vaccines over the 10-year life of the program. Dr. von Schoen-Angerer said that the multibillion-dollar cost of the project was straining GAVI’s finances and that the success of the pneumococcal program should be evaluated before the advance market commitment strategy was tried for another vaccine.

    He said that experts he consulted estimated the cost of making each dose at $1.50 to $2.50, so Pfizer and Glaxo were still making a little profit. The two companies would not disclose their costs but did not deny they would make money. “Certainly the whole notion was to create a sustainable model,” said Gwen Fisher, a spokeswoman for Pfizer. “It wasn’t to make it into a money-losing proposition.”


    So, if the estimated cost to Pfizer and GSK is $1.50 per dose - and is being supplied @ $7.00 per dose to the world's poorest countries, the pharma giants are only looking to gross, + 366.67% for each vaccine dose...

    enter disruptive innovation...

    And as posted by coppertop in regards to Glyn's answer to his question about disruptive innovation:

    Q: Would you now call OBJ’s various technologies disruptive?

    A: Yes, we have discussed this internally many times.

    Q: Or is it still just more about that potential?

    A: There is no doubt that the features and cost benefit situation that the OBJ technologies offer to certain partners could be potentially significant.


    * The following abstract was authored by Dr Tarl Prow for OBJ's SAB Prof. Heather Benson's 2012 book, Transdermal and Topical Drug Delivery Principles and Practice published by John Wiley & Sons

    "And finally — perhaps most importantly for many vaccines — it has been shown that the use of microneedles can indeed exploit the skin immunology for improved immunogenicity, protection, and dose sparing. It was shown that a densely packed array of short projections bearing an influenza vaccine delivered the vaccine directly to several thousands of epidermal and dermal antigen - presenting cells, in good agreement with predictions from a theoretical probability - based model. And importantly, it was found that that this skin targeting resulted in comparably protective immunity as delivered via needle and syringe into muscle — but with less than 1/100th of the delivered dose." - Electrical and Physical Methods of Skin Penetration Enhancement

    Now, let's redo the math:

    So, if the estimated cost to Pfizer and GSK drops from $1.50 per dose down to $0.015c - and is supplied @ $7.00 per dose to the world's poorest countries, these 'philanthropic' pharmaceutical giants will stand to gross, + 46,566.66% for each vaccine dose...

    Disruptive Innovation: "Innovations that improve a product in ways that the market does not expect, typically first by designing for a different set of consumers in a new market and later by lowering prices in the existing market."

    From here we may begin to see a clearer picture emerge showing why Sir Andrew Witty is so keen to 'help out' the world's poorest nations like Africa - with the full backing of GSK shareholders, and lots of margin in there for royalty payments as well ;)



 
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