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Clinigen - Acquires speciality products

September 2014

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

  • Epic Code:
  • CLIN
  • Price:
  • 468p
Clinigen’s speciality products division (SP) acquired the global rights to the oncology support therapy, Ethyol, from AstraZeneca. Ethyol (amifostine) was approved by the FDA in 1995 and had sales in 2013 of c.$4.9m. Financial terms are undisclosed but brokers estimate the total amount payable will be 2-3x revenues or US$12.5m in 3 tranches during FY2015.Ethyol sits well with its two existing oncology support drugs (Cardioxane and Savene). The drug is used to reduce the incidence of dry mouth, which is a side-effect in patients undergoing post-operative radiation therapy for head and neck cancers. It is also used to decrease the toxicity of build-up of certain chemotherapy agents in the kidney.Numis has nudged up eps ...

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