Ann: Letter to Shareholders, page-193

Hi @@topfeeder I would recommend Monil Shah and Paul Hopper look to Imugene Managing Director and CEO Leslie Chong's former employer Genentech and their development deal with Roche, which ultimately led to their takeover some years ago now. The starting figure in this instance given the quantum of IP involved and time elapsed since Genentech and Roche first shook hands in 1990 for $2 billion USD, could be in the vicinity of $3 to $5 billion USD up front, with the end figure dependant on the FDA approvals, registration and eventual sale of Imugene's extensive immunotherapy pipeline. Given Imugene have current collaborations with Roche, Merck, Pfizer and even Amgen, they would be my first port of call in the negotiation phase.

For more on the Genentec Roche deal see here courtesy of https://www.reuters.com/article/us-roche-genentech-timeline-sb-idUSTRE52B2BF20090312

(Reuters) - Swiss drugmaker Roche has struck a deal with Genentech to acquire all outstanding shares in the U.S. biotech group for $46.8 billion, or $95 a share.

Following are key developments in Roche’s relationship with Genentech:

April 1976 - Genentech -- considered the founder of the biotechnology drugs industry, based on developing genetically modified copies of naturally occurring human proteins -- is set up by venture capitalist Robert Swanson and biochemist Herbert Boyer.

February 1990 - Genentech sold a controlling stake to Roche for $2.1 billion. Under the deal, Roche owned about 60 percent of Genentech’s voting stock.

June 1999 - Roche exercised an option to buy the portion of Genentech it does not own, then reissued up to 19 percent of the stock, preserving the biotech’s status as an independently traded company. Roche later sold more Genentech shares.

July 2008 - Roche offered to acquire all outstanding shares in Genentech for $43.7 billion cash, or $89 per share, to reinforce its position in cancer medicines.

August 2008 - Genentech rejected Roche’s offer to acquire the outstanding 44 percent, but said it would be willing to consider a sweetened bid.

September 2008 - Genentech shares fell below the offer price from Roche as spreading market turmoil stokes uncertainty about the takeover and the scope for an improved bid.

January 2009 - Roche turned hostile, cutting the value of its bid to $42 billion, or $86.50 per share. The offer was at a premium of nearly 3 percent to Genentech’s closing price the previous day.

February 2009 - A special committee of Genentech’s board recommended shareholders reject Roche’s bid, saying it substantially undervalued the U.S. company.

March 2009 - Genentech gave earnings and revenue growth projections for every year through 2018 on March 2 and said its cancer drug Avastin could reach $10 billion in annual sales by 2015, as it aimed to demonstrate the company was worth far more than Roche was offering.

-- March 6 - Roche increased its offer to $93 a share and extended the offer to shareholders by a week.

-- March 12 - Roche clinched an agreed $46.8 billion deal worth $95 per share.

DYOR Seek investment advice as and when required Opinions only