Karolinska Development announced that sevuparin (Modus Therapeutics) has failed to meet the primary endpoint in its phase II trial in sickle cell disease (SCD). Modus program in SCD constituted the absolute majority of the value in our valuation in KDev Investment, and the fact that the asset is part of the front-loaded deal with Rosetta adds on to the negative news. Moreover, the most likely value drivers, short- to mid-term, were attributed to Modus. Considering the negative results, we are forced to lower our fair values substantially and see the financial situation for the investment entity as worrisome.