Thanks Tony,Its worth noting that the report is commissioned by...

Thanks Tony,
Its worth noting that the report is commissioned by Phylogica. One way to read the report is to ask the question, what is the take home message from Phylogica management.

I found a number of interesting highlights within the report:

1. PYC "expects to receive further milestones under its four existing collaborations". Despite the lapse of time apparently all four collaborations are very much alive.
2. In the case of Roche and Pfizer, the next milestone payment would result from the exercise of the option to licence peptides. Licencing a peptide would be a major validation of the phylomer library and as they say a 'game changer'.
3. PYC "sees the creation of an in-house project portfolio as the best way to build value and so potentially facilitate a trade sale". The change in emphasis in the most recent presentation highlighted the growing importance of in-house projects vis a vis discovery collaborations.
4. The cost of performing targeted in-house research would essentially involve only "incremental expenditures" if PYC can reach cash self-sustainability through its collaborations.

Cash self-sustainability is of course dependent upon new deals and reaching milestones. Its the big if which will be answered over the next 12 months. Personally I'm happy to be reassured that the state of play - as recently as 23 January 2013 - is "advanced discussions with five prospective pharma partners, with a further 20 earlier-stage discussions also underway".

Regards,

Wayne.