ARTICLE | Finance

Basilea contemplates cash

Basilea wins $130M from J&J, now must make product development decisions

December 6, 2010 8:00 AM UTC

Basilea Pharmaceutica AG (SIX:BSLN) almost doubled its cash position last week after the Netherlands Arbitration Institute ordered former partner Johnson & Johnson (NYSE:JNJ) to pay the company $130 million for breaching a 2005 deal for ceftobiprole. However, investors only added CHF9 million ($9 million) to Basilea's market cap on Nov. 29, the day the news was announced.

The company now has about $270 million dollars in its war chest and plans to resume development of ceftobiprole, as well as move forward with a number of earlier stage programs...