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Biotech / Medical : Biotech Valuation -- Ignore unavailable to you. Want to Upgrade?


To: Miljenko Zuanic who wrote (15164)1/8/2005 4:57:28 PM
From: hmpa  Read Replies (1) | Respond to of 52153
 
=DJ US Biotechs Are Successful In 4Q But Their Shares Are Not

07 Jan 13:11


By John Seward
Of DOW JONES NEWSWIRES

NEW YORK (Dow Jones)--It was a successful fourth quarter for companies in the
biotechnology sector - except in the stock market.

The often-choppy Amex Biotech Index is up less than 2% from the Sept. 30 end
of the calendar third quarter. While it closed out the year up 11%, biotech
companies' stocks "finished about where we were" in September, said Susquehanna
analyst Soham Pandya.

Companies were successful winning drug approvals from the U.S. Food and Drug
Administration, a feat they will be hard-pressed to repeat in the first
quarter, Pandya said.

One particular piece of good news, according to Harris Nesbitt analyst Thomas
Shrader, was the FDA's December approval of Genzyme Corp.'s (GENZ) Clolar drug
for childhood leukemia.

The action, based on a trial involving only 49 patients, suggests the FDA is
"willing to look beyond conventional endpoints" in drug applications aimed at
small populations of often desperate patients, Shrader said in a research note.

But with the industry pipeline of FDA approvals now running at a slower rate,
2005 opens with the prospect for potentially negative news in the form of
changes to the federal reimbursement system for Medicare and Medicaid patients.

Pandya said investors are well aware of that particular uncertainty. "It
might take a couple of quarters to know what the impact will be, or if there
will be an impact," Pandya said of the reimbursement issue.

However, a spate of bad news for the larger pharmaceuticals industry could
help biotech companies this year.

Big Pharma's troubles with drug development - including Pfizer Inc.'s (PFE)
problems with its arthritis pain medication Celebrex following Merck's (MRK)
withdrawal of its own pain medication, Vioxx - may give biotech companies
increased leverage.

Specifically, Hibernia Southcoast analyst Bennett Weintraub said,the large
drug makers may be driven into even greater reliance on development
partnerships with smaller biotech companies.

Weintraub believes one outcome will be more favorable partnership terms, and
as a result he expects a significant increase in capitalization for biotechs.

Besides Clolar, other fourth-quarter biotech success stories included FDA
approvals for Amgen Inc.'s (AMGN) Kepivance chemotherapy side-effect treatment,
Eyetech Pharmaceutical's (EYET) Macugen for macular degeneration and Sepracor
Inc.'s (SEPR) insomnia drug Lunesta.

Drugs from the biotech industry that may win FDA approval this year include
Amylin Inc.'s (AMLN) Symlyn diabetes drug, Neurocrine Bioscience' s (NBIX)
Indiplon insomnia drug, and Telik Inc.'s (TELK) Telcyta cancer drug.

None of the analysts quoted in this report own shares in the biotech sector
and their employers don't have any current banking relationships there.

Thomson First Call Year-Ago Reporting
Estimate Net Date
Genentech 22c 24c Jan. 10
Genzyme 47c 29c Feb. 17
Chiron 11c 61c Jan. 26
MedImmune 17c 30c Feb. 3
Amgen 61c 41c Jan. 27
Gilead Sciences 23c 85c Jan. 27
Biogen Idec 36c (4.03) Feb. 7
Sepracor (SEPR) (65c) (40c) Jan. 20*
Eyetech (EYET) (66c) (49c) Feb. 7*
Amlin (AMLN) (19c) (61c) Feb. 21*
Neurocrine (NBIX) (30c) 9c Feb 7*
Telik (Telk) (49c) (36c) Feb. 14*
*Projected dates based on timing of companies report in prior quarters.

(Figures in parentheses are losses.)
(The Thomson First Call estimate and year-ago net may
not be comparable due to one-time items and other
adjustments.)
-By John Seward, Dow Jones Newswires; 201-938-5400

(END) Dow Jones Newswires
01-07-05 1311ET


Don't know why the writer thinks Telcyta is due for FDA approval in 2005. If this is a common opinion, we have a problem...



To: Miljenko Zuanic who wrote (15164)1/8/2005 10:40:44 PM
From: Biomaven  Respond to of 52153
 
formulation is “too stable”

Well they still get some toxicity - in fact they had to reduce the dose in one of their trials. So it's not exactly inert.

The real issue as always is efficacy vs tolerability.

There is at least preclinical evidence that the activatated drug accumulates selectively in tumors:

Cancer Chemother Pharmacol. 2000;46(5):416-22. Related Articles, Links

Biodistribution of paclitaxel and poly(L-glutamic acid)-paclitaxel conjugate in mice with ovarian OCa-1 tumor.

Li C, Newman RA, Wu QP, Ke S, Chen W, Hutto T, Kan Z, Brannan MD, Charnsangavej C, Wallace S.

Department of Diagnostic Radiology, The University of Texas M.D. Anderson Cancer Center, Houston 77030, USA. cli@di.mdacc.tmc.edu

PURPOSE: Poly(L-glutamic acid)-paclitaxel (PG-TXL) is a water-soluble paclitaxel (TXL) conjugate made by conjugating TXL to poly(L-glutamic acid) via ester bonds. In preclinical studies, PG-TXL has shown significant antitumor activity against a variety of solid tumors. To elucidate the relationship between tissue distribution and antitumor efficacy of PG-TXL, we studied and compared the biodistribution of PG-TXL and TXL. METHODS: Female C3Hf/Kam mice bearing syngeneic ovarian OCa-1 tumors were injected with either [3H]TXL or PG-[3H]TXL at an equivalent TXL dose of 20 mg/kg. Mice were killed at various times after drug injection, and samples of blood, spleen, liver, kidney, lung, heart, muscle, brain, fat, and tumor were removed and the radioactivity counted. In addition, concentrations of free [3H]TXL released from PG-[3H]TXL in the spleen, liver, kidney, and tumor were analyzed by using high-performance liquid chromatography (HPLC). Whole-body autoradiographs of mice killed 1 day and 6 days after administration of PG-[3H]TXL were obtained to study the intratumoral distribution of PG-TXL. RESULTS: When [3H]TXL was conjugated to polymer, the biodistribution pattern of PG-[3H]TXL differed from that of [3H]TXL. Based on area under the tissue concentration-time curve (AUC) values, tumor exposure to [3H]TXL was five times greater when administered as PG-TXL than as TXL formulated in Cremophor EL/alcohol vehicle. Furthermore, concentrations of free paclitaxel released from PG-[3H]TXL remained relatively constant in tumor tissue, being 489, 949 and 552 ng/g tumor tissue at 5, 48 and 144 h after dosing, respectively. Autoradiographic images of mice injected with PG-[3H]TXL revealed that radioactivity was primarily located in the periphery of the tumor on day 1 after drug administration and was homogeneously diffused into the center of the tumor by day 6. Over the 144-h study period, [3H]TXL concentrations, predominantly as the inactive conjugate, were higher in tissues with a more abundant reticular endothelial system (i.e. liver, kidney, spleen, lung) than in tissues with less abundant or lacking RE systems (i.e. muscle, fat, brain). Both [3H]TXL and PG-[3H]TXL were excreted primarily through the hepatobiliary route, with a small fraction of each drug (5% and 8.7%, respectively) excreted into the urine within 48 h. CONCLUSIONS: This study indicates that the distribution to tumor tissue was enhanced when [3H]TXL was administered as a macromolecular conjugate, and that free TXL was released and maintained within the tumor for a prolonged period. Thus, the antitumor activity of PG-TXL observed in preclinical studies may be attributed in part to enhanced tumor uptake of PG-TXL.


Peter



To: Miljenko Zuanic who wrote (15164)1/9/2005 12:22:10 AM
From: Rudy Saucillo  Read Replies (1) | Respond to of 52153
 
>>Just to make things clear (one more time): 80-90% of the Xyotrax dose is excreted in urine, intact, so formulation is “too stable”. My view is that drug will not work, or that it will not be significant advantage.<<

Provacative statement. Animal data, animal dosing??? I've certainly not seen anything like this w.r.t. the human trials.

References please.