Lurking X I saw this about hostile takeunders

They are alluding to individuals working in a public company becoming hostile to their own shareholders and then later taking something under due to the perception of no capital being available. This is something that is essentially incomprehensible to the majority of American investors outside of the very worst OTC stocks. And I do not know what Herde was alluding to here, but it stuck out as this is something that has essentially happened with a reformulated version of nystatin albeit in a more interesting way because Fleire is also public. What was meant was for a one of the world’s oldest antifungals to be made safe for intravenous use, and after about 2 decades it generated a very small amount of human data that went over well (as in several of the treated persons didn’t die & some recovered without surgeries to debride the fungal growth).

If I have not already made whoever still reads this blog aware, just recently biosergens stock exploded into tiny pieces. Their company was supposed to represent ownership of a drug that I think possesses among the lowest risk profiles of a P1→P3 asset that exists.

When most people encounter new drugs out of biotech, I think the going assumption is there’s a low base rate expectation for clinical success, especially from early-stage experimental drug products. I say that BSG-005 is among the lowest risk clinical assets in the world as it is almost impossible for BSG-005 to fail a clinical trial for purposes of efficacy as it’s already successfully treated multiple species of the most common invasive fungal diseases that failed prior lines of therapy. It has also repeatedly shown better nephrotoxicity compared to standard lipid reformulations of amphotericin B, including in a dose escalation of the infamous n=1.

Everything that’s happened so far gives everyone that looks at this thing for more than a minute a big raging clue about what to expect from its safety profile. This means regulators that eventually encounter it for review are going to have an extremely favorable outlook on both efficacy and safety, leaving manufacturing as the hurdle.

Biosergen was rolled up into a publicly traded life sciences fund alongside like it was a bag of financial cocaine, so in spirit it’s probably a little different than what Herde is talking about. If Flerie alongside biosergen can manage their expenses on their investment they will probably make something between 20-100x their money on this purchase. If they manage a global roll out successfully and swiftly, there’s opportunity to make significantly more, but they will need to appropriately and successfully approach expedited approval pathways with BSG-005 also swiftly becoming the standard of care for invasive fungal disease.