Hi rush, Check out page '5.2 Source of Scheme Consideration'....

Hi rush,

Check out page '5.2 Source of Scheme Consideration'. Specifically it mentions:

I just did some basic calculations. I was trying to compare the cost of acquisition for Merck and BMS (the cash and cash equivalents value for BMS was from their Annual Report 2017).

Check out the USD $1.7 billion deal in Appendix 3 between Ignyta, Inc acquired by Roche. Then check out the ORR and the indication for the latest scientific presentation from Ignyta - link to presentation. An ORR of 78% (25 out of 32 patients) for NSCLC. I can't find a reliable source that lists mortality rates by cancer types but at the very least the World Health Organization lists lung cancer as the most common cause of cancer death (WHO, 2015).

I'm not dismissing the seriousness of melanoma but my guess is that the lack of efficacy data for lung cancer for Cavatak could be one strong factor in the undervaluation (yet strangely Merck is willing to still take a punt on it?). Search clinicaltrials.gov for simply "lung cancer" vs "melanoma". There are 6,143 search results found for the former and 2,116 for the latter (and yes, there may be some overlap or multiple indication studies). This is by no means a reflection of biotechnology industry's priorities but I'm starting to think there's a shift of attention towards unmet needs by other cancer indications. Lung cancer poses a huge health burden globally and I would imagine any company would want to profit from the implied potentially larger market from it. Unfortunately, we didn't have enough data for the bladder and lung cancer cohort from KEYNOTE-200. Again, only my unqualified opinion.