|Amarin attracts long list of suitors|
|By Patrick Crutcher|
|Tuesday, 18 January 2011 03:11|
Amarin Corp.(NASDAQ: AMRN) has certainly been a great stock to own ever since our call back in late October, when the stock was trading around $3; gaining over 300% since then. Recent comments from the CEO suggest that they are on multiple shopping lists out of big pharma.
Lately, it has gotten a lot of attention from the investment community following a capital raise where banks and institutions were buying shares by the millions. They raised roughly $100 million dollars and the market completely absorbed it; they even maxed out the over-allotment on the offering. That’s a powerful buy signal for retail investors to take notice.
Bloomberg's recent story on Amarin is a must read for investors. While at the J.P. Morgan Healthcare Conference, Bloomberg interviewed CEO Joe Zakrzewski, whom had this to say, “I have more companies interested in this asset than employees,” The company employs 17 people, he said.” When we first saw the original MARINE data back at the end of November, we figured there would certainly be interest in AMR-101, but we could have never imagined that big pharmas would be flooding Amarin with offers. There is so much interest, that Amarin will be retaining a financial adviser to review the alternatives and offers, since they have received interest from over a dozen companies.
To briefly review, AMR101(ethyl icosapentate) is a purified, prescription-grade omega-3 fatty acid compound that is presently being investigated in two Phase 3 clinical trials, one for the treatment of patients with very high triglyceride levels(MARINE) and the other for the treatment of patients with high triglycerides with mixed dyslipidemia(ANCHOR). The MARINE study’s objective were to determine the efficacy of AMR101 versus placebo in lowering triglyceride levels in patients with very high triglyceride levels(500 ≤ TGL ≤ 2000 mg/dL). While the ANCHOR study(most important) is aimed at those with high triglyceride levels(200 ≤ TGL ≤ 500 mg/dL). Both Phase 3 trials are being conducted under Special Protocol Assessment (SPA) agreements with the FDA.
If the ANCHOR study results are successful, AMR101 has the potential to address a substantially larger patient population than Lovaza. Lovaza is currently labeled to help patients with triglyceride levels greater than 500 mg/dL, whereas AMR101 could potentially be used for those with triglycerides from 200 to 2000 mg/dL, which would be the broadest label for this indication. AMR101 has the potential to address over 100 million patients in the United States if approved and both studies show strong efficacy. AMR101 also does not have the fishy taste, smell or belching, and skin reactions that are common for Lovaza.( Lovaza had global sales of over $1 billion in 2009.) With positive results in the ANCHOR study, Amarin has the all the makings of a multi-billion dollar takeover in 2011.
Our original coverage(when AMRN was near $3) - http://biomedreports.com/2010102558802/potential-blockbuster-in-the-making-for-amarin.html
Our take on MARINE results - http://biomedreports.com/2010112960608/amrn-reports-great-results-potential-maa-target.html
Amarin CEO Seeks Adviser After Buyer, Partner Interest - http://bit.ly/ezHmtV
CNBC video, “Potential Blockbuster Bet?” - http://bit.ly/f7VKaK
Shares soar on Phase 3 data - http://bit.ly/hz4Yjp