Jim Letourneau's Blog

Investing, Technology, Travel, Geology, Music, Golf. I think that covers it.

Volatility of Resverlogix (RVX.TO)

This post is part of 14 of a 16 part series of posts taken from the transcript of an interview I (JL) conducted with Resverlogix (RVX.TO) co-founders Dr. Norman Wong (NW) and Donald McCaffrey (DM).

What follows is a lengthy and candid interview about the history of Resverlogix, recent events at the American Heart Association meetings, and future plans for the company.

I’ll be publishing two interview segments a day so not all of the links may be active if you are viewing this during March 28-April 5, 2011.

  1. Background of Dr. Norman Wong

  2. Early History of Resverlogix

  3. HDL Biology

  4. American Heart Association Meeting - 2010

  5. CETP History

  6. Importance of HDL Type

  7. AHA ASSERT Trial Response

  8. ALTs

  9. Investor Reaction

  10. The Next 2 Years

  11. David vs. Goliath

  12. Alzheimer's Therapy Potential

  13. Upcoming Assure Trial

  14. Volatility of Resverlogix

  15. Resverlogix is Expanding

  16. More on the sell-off

Part 14

DM: It's a bit of a roller coaster because some of these hedge funds and stuff they do

increases the volatility of a biotech stock. They can just play on whatever. They go up. They
go down. So we just have to be patient. Norm, have you ever sold a single share?

NW: Not one single. We've given away shares.

DM: I haven't either.

NW: Don and I have given away shares for charity. But we have not sold.

DM: Children's hospitals, stuff like that.

NW: Mount Royal University. We have not sold.

DM: No, we haven't sold shares. We're pretty committed to this.

NW: This is so new I have not even seen it.

DM: Haven't you?

NW: No, I haven't seen it. This is actually . . .

DM: That's the final tablet form.

NW: That's 208 in a tablet form.

JL: Okay.

NW: So it looks like a little bit of an aspirin except that . . .

DM: Yeah, those three pills have only cost about $120 million.

NW: Yeah, I know. I know.

DM: About $40 million a pill there.

JL: It's very nice to see this.

DM: It's a fascinating field to be in. It's frustrating at times when you have to try to work
around the market and it's playing you. But we do stick to the basics and that's the science.

JL: Well, I keep seeing it with . . . doesn't matter what it is in terms of technology or
biotechnology, the timelines are long.

DM: Yes, they are.

JL: The executive of the year and all of the sun shining on them, but it's like 15 years and it
just happened that the market went one way and whatever they were doing became . . .

NW: In the meanwhile, someone else is toiling away and probably deserves just as much
credit and attention for riding out a really dark time.

DM: Well, we've ridden out really dark times.

JL: Yeah, you've already had the dark times. The hard part for you, having the expectation
that it had, now we've got some results. That was a smack down. That's sad.

DM: Yeah. That was a smack down. But the bottom line is that the next study that we have
chosen to do, and the others have chosen to avoid or take so darn long that it will be trivial,
should answer almost all the questions. We are moving forward with the program that can
remove plaque in a safe manner. That makes you a multibillion dollar company. For us,
we're not that far off now. People look at time frames and there is a lot that is going to
happen between now and then. We heard this two years ago when we started these two
trials, 18 months ago. Nothing will happen until AHA or whatever. But look at everything that
happened in between. It's been pretty active.