Club Biomed &endash; Meeting Minutes &endash; 22 September 2004
- Social phase, accepting contributions, a member buy back. John
- Students who are interested can now participate in Club Biomed
as a graduate course NEURO444. You must come to 16 meetings over 2
years and have the option to join the club and contribute money;
however, joining the club is not a requirement of the course. The
final for this course is a formal presentation to the group
- Various people have to leave the club: Monica b/c she is going
to a law firm where she isn't allowed to be a member, Rana and Tom
Kash. Members unanimously voted in favor of immediate cash-out for
all proposed members. Juliana is also to leave although we voted
on it previously.
- Stock watchers ~ we need a replacement for Monica to cover
Teva. Please consider this for the next meeting where one will be
- Virtual portfolios & benchmarks, Club Biomed portfolio,
Financial report. Steve. We have roughly 15K invested in 6 stocks
with 6K in free cash. The market has been underwhelming recently.
- ¸ Review of Real Portfolio as of 9/22/04:
Symbol Price Total Gain $ Total Gain % Market
BIIB 59.57 +1620.00 +51.50 4,765.60
CJHMF 2.415 -1675.50 -69.81 724.50
CTIC 6.90 -504.00 -19.58 2070.00
PFE 30.20 -256.00 -7.81 3020.00
TEVA 26.13 +846.00 +36.95 3135.60
IDEV 7.58 +13.00 +1.74 758.00
Portfolio +43.5 +8.61 14473.7
¸ We sold:
CEPH 50.50 +238.00 +4.95
¸ Club Biomed share value: $_28.40_
Educational Session and Discussion. Starting a Biotech with
Technology Licensed from Weill Cornell:
Why and How &endash; Part One. Steve Gross. Major points are
- At first Steve discussed whether we were responsibleto bring
discoveries to the public good by NIH and ethical mandates.
- Bayh Dole Act of 1980: mandated that any institution with
federal funding must bring discoveries to public good, must work
with small businesses to do so (this will further the economy),
government retain 'march-in' rights but never has exercised those
rights yet. Prio to the BD Act few patents were given to
universities, whereas, afterwards, there were plenty.
- Prosecuting patents can be costly. We have the CRF here at
Cornell &endash; as of May 12, 2004 CRF has been integrated into a
new organization called the Cornell Center for Technology,
Enterprise & Commercialization. CTEC which better represents
what other universities are doing. It licenses inventions made at
Cornell. CTEC's first priority is usually reimbursement of patent
costs. There are generally two schools of thought on licensees
&endash; (1) inventor must identify licensee; or, (2) committee
must get the licensee to the table. CTEc seems to be changing the
responsibility mainly from the inventor to the committee.
- The IP license delineates financial and performance milestones
that a licensee must achieve to maintain a license in force. The
IP license will include scope, schedule for reimbursement
payments, upfront fee, milestone payments, royalties, research
support for inventor's laboratories, timeline. All licensing
revenues are shared with inventor and university in accord with
university policy (after payback of patent expenses).
- When does a biotech start-up make sense (rather than just a
license etc as they always make sense as inventor is always
involved and not isolated): (1) Main reason &endash; Breakthrough
discovery with broad social and commercial potential with limited
interest from licensees; (2) Assembled a research team limited by
money but not ideas &endash; based upon possibilities; (3)
Prior-track record for business success &endash; investors tend to
like this idea although it is risky.
- Considerations for a Biotech Start-up &endash; Platform
intellectual property, patent hygiene, blessings from CTEC,
compelling 'dog and pony' show for investors (this is the tricky
one &endash; size of market, time to market, competing
technologies, strength of IP position, quality of the team,
business plan, good terms in license for IP are all important.),
Financial climate, time to commit, out of pocket expenses for
- At this point we decided to make this presentation a two part
deal with Steve returning in the next meeting for Part Two.
Steering Committee Report. Carlos. Officers met for lunch over the
summer and decided to make some format changes to the meetings:
(1) We plan to establish a course and you can get
credit for being in the club above
(2) You must fill out a recommendation form in advance of
presenting a stock which will recommend purchase price (if there will
be a buy recommendation) and an exit strategy.
(3) Large biotech study groups will be instituted &endash; there
is a commitment of time here so take it seriously.
Three groups have been formed already:
Group: 1 2 3
Persons: John Joel Mayer Carlos
Don Joe Andrea
Laura Hajira Asif
Stock: PTN TBD Genentech (DNA)
(4) Every member will be assigned a stock to follow &endash; read
periodicals, online or magazines and watch how the stock responds and
of course report anything interesting.
Upcoming agenda items for meeting in October:
- Genentech "teaser" from Carlos, Andrea, Asif in October with
bigger report to follow over time
- We need a TEVA stockwatcher.
- Steve will present part two of Biotech Start-Up presentation.
- We will vote on a new treasurer.
- Stockwatcher report from TEVA and sell strategy
- Other Stock watcher reports
- We need to form another study group or add individuals to
Submitted by Andrea Hooper