RE:RE:RE:RE:RE:RE:RESEARCH REPORT Below is the excerpt Oil was referring to, which is not well written:
"We expect the license agreements to include a license fee initially and milestone payments, in addition to royalties in the 5%-8% range. It would be our expectation that a single license fee could be in the range of $25 million, but staged so that a portion would be received upon execution of the agreement with the remainder to be paid as the products are developed including granting of regulatory approvals for clinical trials and sales (i.e. milestone payments). We would expect such licenses to cover the commercial lifetime of a contemplated product, which would be anticipated at around twenty years."
This seems to indicate a total license fee (covering milestone payments too), would be $25,000. Maybe it could be that low for a license related to an indication that does not have a significant projected revenue stream on approval, but it would have to be much higher for indications with larger anticipated downstream revenue. The royalty seems a little low, too, based on the fact that there is no getting efficacy in the CNS indication without the conjugate. thoughts anyone?