PGLAF is likely to fly on the open
– even without a Big Pharma deal right now.
My estimate is a 20+% spike during the session.
Here is the reason:
The Biotech action in US yesterday could have significant implications for Progen and have a positive impact on the shareprice in the short term.
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Stocks Rally, Biotechs Soar on Genentech
Monday March 14, 5:34 pm ET By Megan Davies
NEW YORK (Reuters) - U.S. stocks finished higher in a late rally on Monday, driven by biotech stocks after news that Genentech Inc.'s (NYSE NA - News) key cancer drug helped extend the lives of lung cancer patients.
Genentech surged nearly 25 percent, or $10.92, to $55, adding almost $11 billion in market capitalization in the last hour of trading, after the National Cancer Institute said Avastin helps lung cancer patients live longer when combined with standard chemotherapy. The American Stock Exchange Biotechnology index (AMEX:^BTK - News) rose nearly 5 percent.
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PGLAF board on YAHOO - Re: Avastin news by: nihotopo
Long-Term Sentiment: Strong Buy 03/14/05 06:52 pm Msg: 2298 of 2298
quote - 'Lung cancer patients given Genentech Inc.'s drug Avastin along with standard chemotherapy lived longer, the U.S. National Cancer Institute said on Monday, sending the company's shares up 25 percent and raising hopes for treatment of an often fatal cancer.
Patients given the targeted therapy along with the standard chemotherapy drugs paclitaxel and carboplatin lived a median of 12.5 months compared to 10.2 months for patients given standard chemotherapy, said the NCI, which sponsored the study.' unquote
( reuters.com )
This news added $11.5 billion to Genentechs share price in one hours trading !!!
--- This increase alone could buy all of Progen's shares 100 times over ---
That is quite a remarkable fact when you think about it.
Avastin gave an average 25% increase in survival time.
Avastin is specific for VEGF, PI-88 binds VEGF as well, it may not be as good at binding but the dose of PI-88 is quite high which may compensate. Also PI-88 has other cancer inhibiting activities which Avastin will not have.
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Disclosure: I hold Progen stock and bought more during the recent dip. |
