Theratechnologies Inc T.TH

RE:RE:RE:RE:RE:China deal

[qwerty22]

It had such a horrible 2021 in terms of SP. I'm thinking it might reclaim all those losses in 2022. It seems it deserves it but it another biotech that's just trying to execute and not promote. I'm tempted to get in before the KOL event???

scarlet1967 wrote: It seems there was a delayed reaction as STRO is up almost 10 per cent today so far!

SPCEO1 wrote: Somewhat like the other China partnership noted here recently, the stock of STRO is not really benefitting much. The upfront payment alone for STRO is worth nearly $1 per share but the stock is only up about half of that. Does the market not value Chinese partnership deals all that highly?

STRO is an intersesting comparison to  THTX. They have about $60 million in revenues from some other drug(s) they market vs $70 million for THTX. Prior to the partnership deal, they had $245 million in cash vs. only $42 million for THTX if I recall correctly. STRO has a market cap more than 2x THTX and has 9 analysts covering the stock - all with Buy ratings and with price targets at least 2x the current share price. 

Now,  I have just taken a very quick look at some basic info and really do not know all that STRO might have going on. Much of the higher market cap of STRO versus THTX can be explained by its much higher cash position but it is also burning through that cash at a much, much  higher clip than THTX (free cash flow for STRO in the last 12 months is -$93 million versus -13 million for THTX).  

scarlet1967 wrote: Often we speculate when a deal should be done earlier with less upfront payment, loyalties etc or later on when there has been some results, This company although they are further in process with their trial than THTX decided based on most likely some encouraging results so far to close a deal relatively early only based on interim results from their phase1 trial. In case of THTX if and when their results are also encouraging it does make sense to chase a similar deal overseas and China would be good place imo because they won't have the resources to sell their potential approved drug in North America let alone China also they do need funds. Let's hope on the back of good results they strike a good deal.

qwerty22 wrote:

Such a nice deal for them to secure.

 

scarlet1967 wrote:

 

“Tasly obtains exclusive development and commercialization rights for STRO-002 for Greater China -

- License includes a $40 million upfront payment to Sutro, and potentially up to $345 million in development and commercial milestone payments”

 

https://www.prnewswire.com/news-releases/sutro-biopharma-and-tasly-biopharmaceuticals-enter-into-exclusive-license-agreement-for-stro-002-in-greater-china-301450798.html

They will also discuss the interim data from their Phase 1 trial in January for their ADC.

 

https://finance.yahoo.com/news/sutro-biopharma-announces-company-kol-120000956.html