Prolor CEO: It Would Make Sense to Find A Partner
Prolor CEO: It Would Make Sense to Find A Partner [Globes, Tel Aviv, Israel]
From Globes (Tel Aviv) (May 20, 2012)
May 20--Prolor Biotech Inc. (AMEX: PBTH; TASE: PBTH) has enough cash to conduct late-stage studies of its longer-lasting growth hormone, CEO Dr. Shai Novik told "Bloomberg" in an interview last week, but added that it would make much more sense to find a partner. The company raised a net $35 million in a secondary offering American Stock Exchange last Wednesday.
"Can we do it on our own? Yes," Novik said. "However, when you look at the marketing and sales channels, it would make much more sense, even if we develop it on our own, to partner with someone, at least for distribution and marketing purposes."
Prolor is seeking to become the first company to market a longer-lasting growth hormone, which can be injected once a week instead of once a day. The human growth hormone market is worth $3 billion, according to "Bloomberg". Current treatments including Genotropin, made by Pfizer Inc. (NYSE: PFE; LSE: PFZ), Humatrope, made by Eli Lilly & Co. (NYSE: LLY), and Novob, made by Denmark’s Novo Nordisk A/S (OMX: NOVO; NYSE: NVO).
Human Growth Foundation says that there are 50,000 adults in the US with growth deficiency, and that 6,000 new cases are reported each year.
Summer Street Research Partners analyst Bart Classen told "Bloomberg" that Prolor’s technology would be a major improvement and obviously a very attractive change for patients and physicians. Any of the companies making short-acting hormone could be interested in buying them. There’s definitely a strong chance that the company will be acquired or partner up with a number of the larger companies who would have a natural interest in this product."
Prolor’s share price fell 1.2 percent by mid-afternoon on the TASE today to NIS 19.58, after falling 2.4 percent on the AMEX on Friday to $4.95, giving a market cap of $274 million.
(c)2012 the Globes (Tel Aviv, Israel)
Visit the Globes (Tel Aviv, Israel) at www.globes.co.il/serveen/globes/nodeview.asp?fid=942
Distributed by MCT Information Services
Posted: May 2012