Please ensure Javascript is enabled for purposes of website accessibility

Compugen (CGEN)

Sell Some
Compugen (CGEN)
from Global Investing, recommended at $2 on July 27, 2009


Not willing to be left poor under the new two-molecule cancer licensing arrangement with Bayer, fellow Israeli Compugen proposes a shareholder vote in September to boost their board’s options compensation. With $10 million up front and $30 million in preclinical milestones, plus...

Sell Some

Compugen (CGEN)

from Global Investing, recommended at $2 on July 27, 2009

Not willing to be left poor under the new two-molecule cancer licensing arrangement with Bayer, fellow Israeli Compugen proposes a shareholder vote in September to boost their board’s options compensation. With $10 million up front and $30 million in preclinical milestones, plus $500 million in potential compensation if the drugs go to trial, this is a major boost for CGEN. [Our reporter] Patti highlighted some points from a Ha’aretz interview with CGEN CEO Anat Cohen-Dayag:

“The agreement proves two things. First, the company’s capabilities are real. And there are many more proteins Compugen can discover than the two molecules concerning which the agreement was signed... the first in a chain. Second, the agreement signals the beginning of revenue flow and proves the company’s business model.”

Asked why the deal was done with Bayer, Cohen-Dayag explained:

“When we published our initial results... we began receiving phone calls. People stood in line to speak with us [from] more than one company. It was important that we work with a partner that would invest in a drug we could match with our product pipeline, a company that would be ‘hungry’ and not drop the development work after six months. We also wanted to work with a company that would allow us to be involved in the initial stages of the experiments.”

She also claims that nine currently discovered proteins in the CGEN pipeline could theoretically manufacture 18 products including an antibody to deliver cytotoxic drugs directly to cancer cells and kill them “instead of shooting chemotherapy at the cancer.” It is like replacing “heavy artillery shelling of a large area [with] the use of a sniper’s rifle to fire directly at the cancer.”

I will sell some CGEN.

Vivian Lewis, Global Investing, www.global-investing.com, 212-758-9480, August 13, 2013