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Biotech / Medical : Zonagen (zona) - good buy? -- Ignore unavailable to you. Want to Upgrade?

To: Myron David Kor who wrote (942)	12/2/1997 9:25:00 PM
From: Bruce Rosen	Read Replies (1) \| Respond to of 7041

Myron, this message posted on another board might help you: What was released was an updated report from Harris, Webb and Garrison, which was the first firm to cover Zonagen, back in the spring of 1997, when the stock was trading in the mid-teens. They rate Zonagen: Strong Buy / Speculative Risk. They have the professionalism to admit that their recommendation has some risk attached to it. They make a very strong case, however, for their fair value price target of $70 per share. Among the major points they make: 1. The new alliance with S-P gives Zona a formidable marketing capability. 2. The financial terms of the partnership seem to be better than they had anticipated. 3. With the marketing deal secured, Zona can now turn its full attention to filing an NDA for Vasomax. 4. They believe that Vasomax has a number of advantages over Viagra that can be exploited by S-P. 5. But they feel that those who view this as a Vasomax vs. Viagra issue are missing the bigger picture. The report confronted and, in my opinion, effectively refuted the negative view of some regarding Zonagen: "Frankly, we remain baffled by the rationale of the short sellers of this stock" they stated. They responded in detail to five major arguments made by the short sellers. After defending Zonagen's patent position, they said: "But even if a way were found to get around these patents, a potential competeitor would still need to synthesize their own effective formulation of phentolamine, conduct their own trials, assemble and file their own NDA, secure marketing approval and sign up a corporate partner with the muscle to go up against S-P and Pfizer, all before Vasomax hits the market. Therefore, we consider this entire issue to be moot." They also stated: "There is a gigantic global marketing opportunity for companies with effective user-friendly remedies for erectile dysfunction." I do not believe this report can be accessed on the internet. If I find a way, will attempt to post a link here. I would advise anyone intersted in Zonagen to make the effort to read the entire report.