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Biotech / Medical : Biotech Lock-Up Expiration Hell Portfolio -- Ignore unavailable to you. Want to Upgrade?

To: scaram(o)uche who wrote (896)	1/26/2004 11:56:02 AM
From: keokalani'nui	Read Replies (2) \| Respond to of 1005

IPO VIEW-Investors eying blindness drug company Sunday January 25, 12:53 pm ET By Steve James NEW YORK, Jan 25 (Reuters) - A drug that could save the sight of millions of people could also revive a biotechnology IPO sector depressed by the poor performance of companies that recently have gone public. ADVERTISEMENT The only major IPO pricing of the week will be Eyetech Pharmaceuticals Inc., expected to begin trading on Nasdaq on Friday under the symbol EYET (Nasdaq:EYET - News). Eyetech estimates the offering of 6.5 million shares will be priced at $18-$20 each on Jan. 29. Its key product, Macugen, is in Phase III testing to treat macular degeneration that causes failing eyesight in older people. If it gets government approval, it could be a $1 billion-a-year seller, analysts believe. Eyetech has partnered with Pfizer Inc. (NYSE:PFE - News), the world's largest drugmaker, to develop Macugen. Sena Lund, an analyst with Cathay Financial in New York, noted that Pfizer's acquisition of Pharmacia last year now makes it a leader in eye treatment products. Eyetech, the first big IPO in the pharmaceutical and biotechnology sector this year would come after a weak end to 2003, with two IPOs postponed and three others dropped. Only three IPOs ended the year ahead of the IPO price and one, Acusphere, dropped 37 percent in its first two months as a public company. "This is the first biotech IPO in a long time with true blockbuster potential," Renaissance Capital said in a research report on its IPO home Web site. 'LIGHT AT THE END OF THE TUNNEL' "After three years of disappointing performances in the biotech sector, we see light at the end of the tunnel," the report said. But Renaissance Capital cautioned that while the target market for age-related macular degeneration is large, Eyetech has no other drugs in its pipeline. In addition, rivals are developing drugs to treat the same disease, hoping to beat Eyetech to market. "This will be an eye-opener for the biotechs. It should do well," said Lund. "Eyetech's drug Macugen has potential blockbuster status as there is not much else out there," Lund said. The only product currently on the market is Visudyne, developed by Canada's QLT Inc. (NasdaqNM:QLTI - News; Toronto:QLT.TO - News) in partnership with Swiss drugmaker Novartis AG (NOVN.VX). Also, Genaera Corp. (NasdaqSC:GENR - News) has released promising results from a small, early-stage trial of its drug, squalamine, for treating the severe wet form of age-related macular degeneration. Analyst Shaojing Tong of Mehta Partners, an independent research house specializing in biotech companies, said Eyetech's partnership with Pfizer could not be underestimated. "They have a pretty good 50-50 deal with Pfizer, and that's a validation of the product," Tong said. Asked if Macugen was the "real deal," he said, "Definitely. They are expected to file (with the FDA for marketing approval) later this year." Last November, Eyetech said late-stage trials showed that Macugen, which blocks abnormal blood vessel growth in the eye, was 27 percent more effective than a placebo with limiting vision loss in patients with the "wet" form of macular degeneration. In such conditions, the central part of the retina, the macula, deteriorates. Vision loss occurs quickly as blood vessels leak. forming a mound that eventually contracts, leaving a scar that blocks vision. In the more common "dry" form of macular degeneration, loss of eyesight is more gradual. Eyetech said wet macular degeneration afflicts an estimated 1.6 million Americans, with 200,000 new cases reported each year. The total is expected to grow as baby boomers age. New York-based Eyetech has lost $124 million to date, but Renaissance Capital said it is run by industry veterans with strong product launch experience and its collaboration with Pfizer adds credibility. "If approved, Macugen has the potential to become a blockbuster drug with over $1 billion in annual sales ..." the report said. "While it has all of the risks of an unseasoned biotech, Eyetech may be the first hot biotech in three years, and the shares are being offered to investors at a bargain price." The joint managers are Merrill Lynch and Morgan Stanley.

To: scaram(o)uche who wrote (896)	2/2/2004 6:44:08 PM
From: tuck	Respond to of 1005

>>One of biotech's poorly conceived projects, this should be an academic pursuit. Stands ZERO chance of working (IMO), and always has.<< OK, and given that this project is one of two main programs for GNVC -- the other, BioBypass, was returned to them by Pfizer -- I just sold my Mom's stake today for a decent profit. But do you care to outline your reasoning? TIA & Cheers, Tuck

To: scaram(o)uche who wrote (896)	2/27/2004 6:05:00 PM
From: tuck	Read Replies (2) \| Respond to of 1005

Here's the article about GenVec's (GNVC) TNFerade trial and an accompanying editorial, both from JCO, and both free full text. The main beef with the trial seems to be that response was not conclusively tied to vector dose, and no measurements of expression and such were done to evaluate the important "bystander" effect. Part expense and part ethics, I suppose, as the gathering of that info would have required invasive techniques (though maybe PET would have done the job?). . . . jco.org Editorial: jco.org Still curious as to exactly what your concerns are. Cheers, Tuck