Interview with CEO: new drug within 2 weeks in addition to existing two revenue generatin drugs; potential market to be expanded exponential (see the tailand of the interview).
Thanks to who provided the link!
CNBC- STREET SIGNS
CONNETICS (CNCT) CEO TOM WIGGANS ON THE COMPANY`S ANNOUNCEMENT TO NOT SEEK GOVERNMENT APPROVAL OF ITS NEW DRUG
OCTOBER 9, 2000
SUMMARY: Wiggans discusses the skin disease drug Relaxin and says it is enormously promising. He comments on the company`s stock price drop. He also says they are a development and commercialization company.
Martha: The biggest percentage loser today on the Nasdaq is Connetics. The stock is down about 80% in the session, on news that the biotech company has dropped plans to seek approval for its skin disease drug following disappointing results of the phase III trial. Joining us today from Palo Alto, California is Tom Wiggans.
Thanks for the invitation.
Martha: Tell us about what went wrong in the trials for this drug.
Well, the disease is a very complicated disease. There have been many attempts to seek a treatment for this disease. We thought we had a well-designed program with a product that had a chance of having an effect on this disease. Once again, a treatment for this disease has proved elusive.
Martha: What about the reaction in the market? Is it too harsh considering perhaps other drugs in the pipeline or future uses mentioned of Relaxin itself?
Well, we do, frankly. We think it`s a substantial overreaction. Relaxin was an important program to us, it was an important program for the patients and we`re very disappointed for them. It was one of a number of programs that we have and as you pointed out, even though we missed the endpoint in the trial. The end point we were seeking to prove to advance the drug and bring it to the market. What we did find is in a number of other measurements in this clinical trial, kidney function, cardiovascular integrity, some of the other parameters we were looking at, actually the results were quite positive and support a number of the clinical programs that we have ongoing. Some of these programs we started as much as a year ago based upon the biology and some of the other studies we`ve done for Relaxin, we`ve taken those ahead and we`re about to enter the clinic. The good news about this trial, frankly, is that some of the results strongly supported our other development programs.
Martha: What about the stock, Mr. Wiggans? It went from pretty much very close a 52-week high to close to a 52-week low in just one session as we`ve said, down about 80%. What do you have to say to shareholders about the way this stock has been acting and whether you`ll be able to help them out and pull it up going forward?
Well, I would point out that over the last couple of weeks, the stock has moved from 15 or 16 up to the close on Friday of a little over 25. I think the stock was moving in anticipation of the results. If that`s the case, I think the inherent value of the company is substantially more than it is right now. We are a company that`s not just a typical biotech company with one development program. We`re actually a development company and commercialization company. We have two products on the market and in a couple of weeks we`re going to introduce a third product on to the market. The revenues from those products have grown substantially over the last couple years and we anticipate that going ahead.
Martha: What would you say is your most promising drug in the pipeline right now?
I will tell you that despite the set back, Relaxin is still an enormously promising drug. We saw profound effects in renal function in the trial. We saw profound effects in cardiovascular function and profound effects in development. All of those support other programs that, as I mentioned a few minutes ago, we`ve had going on for up to a year. We`re getting ready to start clinical trials in infertility, heart failure and congestive arterial disease. Those are huge markets, those are very under served diseases. I think the biology of Relaxin supports those strongly, and even though we have other development programs and growing revenues, I think Relaxin is still an enormously promising program.
Martha: Give us a sense for shareholders and investors of what it could mean to the bottom line if Relaxin does prove to do well in these other phases and other trials for the kind of treatments you`re talking about.
Well, just to put it into perspective, the disease effects about 100,000 people in the United States. Congestive heart failure effects 500 million in the United States. The order of magnitude of new indications that we`ve been pursuing is much larger than the sclera market. We are excited about the potential to bring a product to treat this and bring some hope to those patients. From a pure financial standpoint, the markets for cardiovascular disease and infertility are much, much larger than the sclera market.
Martha: We thank you for shedding light to situation ongoing with your stock today.
I look forward to joining you when we have positive data.
Martha: We hope so too, thank you. Our thanks to Tom Wiggans, president and CEO of Connetics joining us live from California.
also? alles halb so wild!
|aus der Diskussion:||Connetics Corp. Shares - 250%-Chance|
|Autor (Datum des Eintrages):||Neumax (10.10.00 09:13:06)|
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