Pablo Legorreta: I think I’ll add also, Chris, when we decided to take Royalty Pharma public in 2020, it was sort of an unknown thing for us. We were very excited about doing it. It was going to provide us with a lot of benefits going from 24 years of operating as a private company. And we did it in 2020. We have been operating now as a public company for a little bit more than two years. And I think, at least from my perspective, I see Royalty Pharma as a much, much stronger business today than we were maybe three or five years ago. In many, many ways, our cost of capital has declined significantly. Just on the debt side, I think it’s probably gone down by 50% or so. And now we have access to the deepest capital market in the world.
And scale, as Chris mentioned, is obviously a really, really important strategic advantage we have. And being public has given us a greater scale. And also, now, as a public company, I think many companies’ management teams can see who we are and it’s made us more visible, a player in the market, and one in which €“ like, there’s many more companies today that want to do business with us because they can see who we are and how we behave and how we can be really good partners to them. So I think the business is in a really strong position today vis-à -vis competition. And the team also, the teams that we have been able to assemble since we went public, which has grown, is really, really strong. And all of those things, I think, bodes really well for a very strong performance over the next several years.
But maybe, Terry, the other
Terry Coyne: On the cost of debt, certainly, we continue to view debt as an important tool that we will use to fund our business over time. We’re in a fortunate position that 60% of our debt matures in 2030 and beyond. And we’re borrowing at very low costs. But over time, we would continue to look to the debt markets as a tool to fund acquisitions and to grow the business. I think the great thing is that we have a lot of financial flexibility. The business generates a lot of cash. We finished FDA ad and the Biohaven payment. We had around $1.6 billion of cash at the end of the quarter. So, that gives us a lot of firepower. But we do continue to have nice leverage capacity where we can access the debt markets, and we have a revolver, which is prepayable, and it’s a $1.5 billion revolver.
So, we have a lot of flexibility. But we do very much value the access to the investment grade bond market and we would expect that, over time, we will continue to be in that market. But it’s all kind of deal dependent. And when we’re looking at acquisitions, we’re also looking at it in the context of the cost of capital for the business at that moment.
Operator: Our last question comes from Ash Verma with UBS.
Ashwani Verma: On omecamtiv mecarbil where we are headed into an ad com next month, what is your view on what kind of label this drug could get from a safety and efficacy standpoint? Appears to be a wide range of outcome on the efficacy side, whether it gets like a heart failure with the ejection fraction of less than 30, or if it includes additional qualifiers, like refractory population or recently hospitalized. And what are you assuming whether it will require a PK guided dosing? And does all that change your view on the potential commercial opportunity for the drug?
