dont underestimate importance of phase 2

Mathematical simulations have shown that licensing deals entered into before the start of clinical trials will, in the long run, be more profitable to big pharmas. But the fact remains that the majority of deals are done during phase 2 and this is perceived as the best time to do a deal.

"The New Math for Drug Licensing: Why Early Stage Compounds are a Better Investment
Industry participants were asked for their opinions on the optimal timing for drug licensing. Most of the perspectives heard were qualitative, with a general sentiment from both Big Pharma and Biotech that optimal timing for deals was during Phase II clinical development. "

also from Merv Turner, Senior Vice President, Worldwide Licensing & External Research, Merck & Co.

"· Can licensing strategies alter the high rate of failure for new chemical entities?
· How can Biotech and Big Pharma leverage each others' skills through licensing?"

Interesting developments with the uptrending shareprice with an impressive volume to boot!