RAC 0.00% $1.61 race oncology ltd

Ann: Expanded Heart Protection Discovery for Zantrene, page-100

  1. 1,014 Posts.
    lightbulb Created with Sketch. 11287
    Yes, exactly, haha! This will be the case for any large pharma company with a cardiotoxic drug that wants to maintain or improve the market for that drug.

    There are other important points to consider here, also.

    Carfilzomib is extremely cardiotoxic, so it cannot be used at high dosages in patients. The reason why it is used in multiple myeloma (MM) is because that particular cancer type is extremely sensitive to proteasome inhibitors. Solid tumor patients require too much of the drug to show any effect, which opens the patient up to cardiotoxic side effects. Now, if Zantrene can protect the heart from cardiotoxicity associated with Carfilzomib use, then it also provides an opportunity for Amgen to increase the number of patients that they can treat with the drug. So, not only is there extended patent protection, but could also have a wider market to target.
    Yes, precisely.

    Extremely speculative scenario:
    Even at USD $1B buyout, you could have the following thing happen.
    1B / 0.72 = ~AUD $1.39B
    RAC keep 25% of the sale to pusue other cardioprotection and FTO inhibitory avenues, and agree to pay out 75% of the sale to shareholders (75% might be a bit rich).
    1.39B x 0.75 = ~AUD $1.05B
    RAC pay out a dividend per share to all holders.
    1.05B / 150M = AUD $7 per share

    For the lambo club members (100k) that's AUD $700,000
    For the guppies (20k) that's AUD $140,000

    This is not including a potential yearly royalty payment for shareholders.

    RAC maintain ownership of all other potential combinations or indications relevant to the cardioprotection or FTO inhibition, which are also worth multiples of billions of dollars. With the funds they secure from this transaction they could massively increase in size and begin running clinical trials in many different indications.
 
watchlist Created with Sketch. Add RAC (ASX) to my watchlist
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.