Vlad, Flasheroo at Yahoo got a response from Darren Chervitz who wrote the following for CBS Marketwatch, published on 1/15/99 as a portion of a lengthly story.
<<Changing technologies
The industries have their similarities, however. Fortunes for several biotech companies waned because of new developments that made their research obsolete. Just look at Vivus (VVUS), the maker of the Muse impotency product. The development of Pfizer's (PFE) Viagra pill sent shares of Vivus skidding into the low single-digits, down from a high of 40-plus in 1997.>>
Here is the response from Mr. Chervitz that Flasheroo received:
<<by: Flasheroo 24560 of 24560
Reply from Mr. Chervitz (please note the THIRD paragraph everyone -- I'm not aware of this report, is anyone else?):
My Name Inserted Here,
Just to let you know, I did do research into the Muse and Viagra situation, which included reading the corporate web sites and talking to analysts (one of whom gave me the example in the first place).
I am aware of the different pros and cons of both treatments, and Im sure you're aware that vivus revenue fell rather dramatically in 1998 (yes, intl sales have gone up) and that losses ballooned. Perhaps that has something to do with the falling stock price?
I also read an analyst report from Dain Rauscher Wessels which said the fourth quarter probably came in less than expectations due to disappointing international sales (tho us sales flattened.)
I didn't mean to say that Vivus' technology is obsolete, just that new research is something to watch out for biotech investors.
Good luck with your investment.
Kindly,
Darren >>
I must congratulate Flasheroo for her work, and I wonder if Vivus will respond to Mr. Chervitz as well. Also, does anyone know about the Dain Rauscher Wessels report Mr. Chervitz mentions?
I have contacted Vivus ir at IR@vivus.com asking if they are aware of the Market Watch story and if they will respond. ZZZZZZZZ I would imagine many others have as well.
Frostman |
