Genoptix acquisition/merger

[Anonymous]

Anyone have any thoughts on the Genoptix acquisition/merger?

 

[Anonymous]

Merger-Genoptix reps you better start looking elsewhere!!

 

[Anonymous]

Sorry no room for you at the Inn.

 

[Anonymous]

Heres the deal: GXDX ( Genoptix ticker symbol) has about 8$ in cash per share outstanding, Novartis ( NV for the purpose of this post) NV got a great deal, the lab is top notch as far as facilities. Why did NV do this? GXDX has thousands of blood, bone marrow, and solid tumor samples frozen, all these samples are cancer patients, NV can test their chemotherapy agents vs these samples. The most robust responders will have genetic codes that you could find other patients that are similar, use that chemo on that genetic code to get the best repsonse. Match best chemo with best patient. This is what NV bought.

Problems:
1)The field force for GXDX is bascially offerring bone marrow test that Walamrt could do. There is no need to keep this team. They may have a skeleton force out there but it is a money loser. Yes oncologists like the reports but insurers hate the prices. GXDX basically rund every little test, every flow marker and boosts their bill. Insurers have caught on and the game is over.
2) Cartesian: Check this out, the doctors that work up the samples dont even work for GXDX. It is a shadow team. Very tricky. NV will not want this liability.
3) Field force mgmt: This group has disdain for pharma and the people that work in pharma. Any mgr you meet from GXDX thinks you are a less than them. They will work to make you look bad and subvert your efforts. Weed them out.

 

[Anonymous]

Genoptix reps better start looking elsewhere

 

[Anonymous]

Genoptix reps better start looking elsewhere

Genoptix HAD to find a buyer BEFORE they were forced to release their disappointing Q4 numbers and the stock tanked all the way!

No clinical lab in their right mind would buy Genoptix and here are the reasons why:

*Reported revenue was based on lucrative out of network reimbursements, those days are gone. In network revenue is far less.

*45+ Hemepaths employed by Cartesian and under contract with Genoptix.

*Recent long term leases for buildings not needed. I’m sure when the dust settles we’ll find out Genoptix principles are owners of the real estate and will benefit for years to come.

*Multiple pending lawsuits and investigations.

In the end, Novartis paid $470M for a flow lab that doesn’t do anything different from anybody else.

ANOTHER GREAT MOVE BY NOVARTIS!!!