NEW YORK, NY / ACCESSWIRE / August 30, 2018 / Shares of Opiant saw big gains after Wall Street learned that Emergent Biosciences Inc. announced the acquisition of Adapt Pharma® for $635 million. Adapt markets NARCAN® Nasal Spray for the treatment of opioid overdose, for which Opiant Pharmaceuticals, Inc. receives tiered royalties. Shares of Sophiris Bio also saw big gains after announcing updates on a phase 2b Localized Prostate Cancer Trial.
RDI Initiates Coverage on:
Opiant Pharmaceuticals, Inc.
Sophiris Bio, Inc.
Opiant Pharmaceuticals, Inc. shares closed up 37.64% yesterday with another 4.06% in gains seen after-hours. The stock traded a little over 1.1 million shares compared to an average trading volume of just about 40,000 shares. It was on Tuesday that Emergent Biosciences Inc. announced the acquisition of Adapt Pharma® for $635 million with the potential for another $100 million in sales-based milestones through 2022. Adapt markets NARCAN® Nasal Spray for the treatment of opioid overdose. So why would this make Opiant shares explode? Opiant receives tiered royalties for sale of NARCAN® Nasal Spray. Traders may have also been enthusiastic over Emergent's projected 2019 revenues for NARCAN® Nasal Spray being $200-$220 million, net of royalty payments to Opiant. Those royalty payments to Opiant are based on the agreement signed with Adapt in 2014 where Opiant gets 90% of the royalty payment, with the other 10% going to SWK Holdings Corporation based on the agreement signed in 2016.
Access RDI’s Opiant Pharmaceuticals, Inc. Research Report at:
Sophiris Bio, Inc. shares closed up 24.61% on Wednesday with an additional gain of 3.76% seen in after-hours trading. The stock saw significant trading volume at 6.2 million shares compared to an average of 580,000 shares roughly. The company saw its shares rise after announcing the conclusion of the ongoing investigation into the previously reported death of a patient in the Company's Phase 2b trial for the treatment of localized prostate cancer. The conclusion revealed that it is unlikely to be related to either topsalysin or the procedure. The regulatory authorities in the United States and the United Kingdom where the study is being conducted have been notified. CEO Randall E. Woods remarked, "As we have previously reported, over 450 patients have received topsalysin at various doses. Topsalysin continues to appear to be well-tolerated with no new safety signals reported. We are very encouraged with the results from the single administration of topsalysin in our Phase 2b study that were reported in June 2018. We continue to plan and move forward with a potential Phase 3 study design based on the response rates and safety profile we have observed to date. We look forward to reporting the complete efficacy and safety data from the Phase 2b study by the end of the year which will include the biopsy and safety data from the 10 patients who received a second administration of topsalysin."
Access RDI’s Sophiris Bio, Inc. Research Report at:
Research Driven Investing
We are committed to providing relevant and actionable information for the self-directed investor. Our research is reputed for being a leader in trusted, in-depth analysis vital for informed strategic trading decisions. The nimble investor can leverage our analysis and collective expertise to execute a disciplined approach to stock selection.
RDInvesting has not been compensated; directly or indirectly; for producing or publishing this document.
Disclaimer: This article is written by an independent contributor of RDInvesting.com and Nadia Noorani, a CFA® charter holder, has provided necessary guidance in preparing the document templates. RDInvesting.com is neither a registered broker-dealer nor a registered investment advisor. For more information please read our full disclaimer at www.rdinvesting.com/disclaimer.
For any questions, inquiries, or comments reach out to us directly at:
CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.