Yes, I think we should at least be getting the development cost...

Yes, I think we should at least be getting the development cost plus Phase II trial costs as upfront fees. About $18.5m.

However, the management seems to be quite confident about the outcome of Phase II as they mentioned many times that they want to go it alone with ATL1103. I am sure the licensing deal would be structured in a way that a much higher milestone payment upon successful Phase II.

From the TEVA experience with ATL1102, where they licensed it and subsequently buried it due to their own parallel development of a MS pill, I would want to see a termination payout clause for ATL1103 if the Pharma decided to terminate due to their own reason that is unrelated to the trial plan.

Deal or No deal? We have the fund for Phase II so there is no urgency to give away ATL1103 for anything less.

JIMO