There’s a drama unfolding in the health care field that is as dramatic as the daytime soap operas. Lots of “he said, she said” has been tossed around, and just to add a little spice, a “bete noire” has also appeared on the scene to cause trouble. If this drama plays out a certain way, then shareholders of one or two of the companies involved may see a big windfall. The drama began back in 2006 when little-known Pharmathene (NYSE: PIP) sued Siga Technologies (Nasdaq: SIGA) for damages stemming from a broken business deal. Pharmathene had loaned… Read More
There’s a drama unfolding in the health care field that is as dramatic as the daytime soap operas. Lots of “he said, she said” has been tossed around, and just to add a little spice, a “bete noire” has also appeared on the scene to cause trouble. If this drama plays out a certain way, then shareholders of one or two of the companies involved may see a big windfall. The drama began back in 2006 when little-known Pharmathene (NYSE: PIP) sued Siga Technologies (Nasdaq: SIGA) for damages stemming from a broken business deal. Pharmathene had loaned Siga money to fund research into a vaccination against smallpox. The loan was presumed to be an interim step before the two firms eventually merged. At a minimum, Pharmathene hoped to at least be granted rights to Siga’s drug, known as ST-246. The two firms had even drawn up documents that appear to imply a merger discussion was the eventual expected result. Siga appeared to eventually lose interest in any deal, figuring that it no longer needed Pharmathene’s stronger balance sheet to help fund the… Read More