This is an interesting post-script to the BMS acquisition of Zymogenetics published in Xconomy today. The article describes that Zymogenetics could have been a big winner on Dec 21st - about 2 months after the BMS deal closed. On that date, its main competitor in the hepatitis C arena - Vertex Pharmaceuticals - announced that its new therapy -- a widely expected replacment to Zymo's interferon -- failed to supplant interferon in a clinical trial
The article goes on to quote several industry participants and commentators on the fact that interferon is unlikely to disappear from the scene anytime soon. Thus, Zymo might have expected a boost to its stock price on Dec 21st on Vertex's bad news and could perhaps have remained an independent player.
Zymo's CEO at the time, Doug Williams, shrugs off any such suggestions and makes the solid point that you have to make decisions in real time with the information you have at the time of the decision. He says he doesn't revisit such moments -- and certainly engages in no monday morning quarterbacking.
In any event, while some Zymo shareholders may have thought the company sold too cheaply -- the BMS shareholders should be happy with the acquisition and subsequent turn of events.
Posted By Bruce Lehr Jan 25th 2011.