|Healthcare Review: Flamel Technologies, Cara Therapeutics, Akorn, Northwest Biotherapeutics, Shire Plc|
|By Staff and Wire Reports|
|Friday, 20 June 2014 13:47|
Shares of Flamel Technologies ($FLML) pop on a 5x surge in volume representing a tidy 450% gain from the December 2012 low of $2.85. The fuel for the uptrend is the expectation that the FDA will issue a ruling that will favor Flamel's Bloxiverz (neostigmine methysulfate injection).
Shares of thinly-traded recent IPO Cara Therapeutics ($CARA) pop on a 2x surge in volume, albeit only ~110K shares thus far in today's session. The company is developing products to treat diseases associated with pain and inflammation. Its lead product is CR845, a peripheral kappa opioid receptor agonist. The company has completed three Phase 2 trials evaluating CR845 in acute post-operative pain. Its value proposition is opioid-like pain relief without the CNS-mediated side effects such as potential dependence, respiratory suppression and bowel suppression.
Citing a poor strategic fit with its focus on niche dosage forms, Akorn (AKRX) sells its subsidiary ECR Pharmaceuticals to Valeant Pharmaceuticals (VRX +2.9%) for $41M in cash and the assumption of certain liabilities. Akorn acquired the branded drug maker when it purchased Hi-Tech Pharmacal last year.
Northwest Biotherapeutics ($NWBO) asserts that Mr. Feuerstein's June 19 article is misleading and inaccurate. For starters, it says that has not received a "rebuke" from any clinical trial site nor is there a basis to receive one. It claims that it has consistently stated that it would release interim data on an ongoing basis regarding the DCVax-Direct Phase 1/2 clinical trial. It confirms that the disclosed data originated from medical files sent to the company from the trial sites and a CRO, but it claims that reporting interim results is not unusual for an unblinded open-label study like DCVax.
Saying the price is still too low, Shire Plc ($SHPG) rejects AbbVie's ($ABBV) latest bid of as much as 27.3B pounds ($46.5B). This is the third offer Shire has spurned. The latest offer values Shire at 46.26 pounds, ~12% premium over today's price in London. The proposal includes a new U.S.-listed holding company with a U.K. tax domicile.