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On Jan 26, 2012, Celgene acquired a private company owned named Avila. Avila's lead clinical compound AVL 292 was in the middle of FDA stage 1 clinicals for hematological cancer. Celgene made a structured deal paying 350 million in cash and the other 575 million was structured in milestones and royalties. Assuming Avila's (AVL 292) success, this will become a 925 million dollar acquisition. This was a tremendous deal for Avila's venture capital shareholders Polaris Venture Partners, Abingworth Management, and Advent Venture Partners. Celgene's shareholders and its institutional followers evidently believed similarly as Celgene shares rallied slightly up on the acquisition news. Apparently such a premium for Avila with a midstage FDA 1 drug was digested with the understanding that Celgene was acquiring both a potential blockbuster as well as a technological platform that could develop many pharmaceutical compounds in
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