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The liquidity paradox of the 505(b)(2) drug development pathway
Oded Ben-Joseph1, Stanislav Glezer1
1Outcome Capital LLC, Boston, MA, USA.
Abstract:
Regulatory pathways strongly influence how drugs are developed, financed, and sold. This article compares the FDA's 505(b)(1) and 505(b)(2) routes, showing how the latter reduces both the development risk and the probability of postapproval transactions, and identifies strategies that can restore attractive, risk-adjusted investment returns.
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