Biohaven Ltd. (BHVN)

Biohaven has sold the rights to its most advanced experimental drug, opakalim, for epilepsy to SK Biopharmaceuticals in a deal potentially worth up to $795 million plus royalties. This transaction provides Biohaven with immediate funds and reduces development risk, though it means foregoing the full "upside" of a potential blockbuster drug. The move comes as Biohaven, a company that previously sold its migraine drug to Pfizer, has faced several research and regulatory setbacks with other pipeline assets.

Biohaven's shares rose 7% after announcing a global licensing agreement with SK Biopharmaceuticals for its Kv7 ion channel platform and epilepsy candidate opakalim. The deal could bring Biohaven up to $795 million in upfront and milestone payments, including $400 million in cash, and ongoing royalties. SK Biopharmaceuticals will take over future program costs and regulatory responsibilities for opakalim, which is currently in late-stage development for focal epilepsy.

Biohaven Ltd. and Yale University have been awarded a combined $4 million judgment in a trade secret misappropriation and breach of contract lawsuit against Avilar Therapeutics, Inc. and RA Capital Management GP, LLC. The judgment follows a jury verdict which found that RA Capital and Avilar willfully and maliciously misappropriated Yale's MODA targeted protein degradation platform trade secret and that RA Capital breached a 2019 confidentiality agreement with Yale. Yale received $2 million for the breach of contract and $1 million each from both Biohaven and Yale for trade secret misappropriation.

A U.S. District Court in Delaware has formalized a $4 million award to Biohaven Ltd. and Yale University, ruling that RA Capital Management GP, LLC and Avilar Therapeutics, Inc. willfully and maliciously misappropriated a trade secret related to Yale's "MODA" protein degradation platform. The judgment confirms a jury's verdict, with $2 million awarded to Yale for RA Capital's breach of contract and $1 million each to Yale and Biohaven for trade secret misappropriation. Biohaven had licensed the MODA platform from Yale and pursued litigation after RA Capital allegedly used confidential information to establish a competing company, Avilar, rather than partnering with Yale.

Biohaven (BHVN) reported improved Q2 2026 earnings, reducing its net loss to US$137.31 million. While the stock's price-to-book ratio of 171.2x suggests overvaluation compared to industry averages, a Discounted Cash Flow (DCF) model from Simply Wall St indicates the shares might be significantly undervalued at $13.85, estimating a future cash flow value of $53.83 per share. The article highlights the conflicting valuation perspectives, urging investors to consider both the risks of a loss-making biotech and the potential of its pipeline.