RARX - Ra Pharmaceuticals: Undervalued As The Low-Cost Therapy Seeks FDA Approval
Investment Thesis
The shares of Ra Pharmaceuticals (RARX) more than doubled in value this month following a merger agreement with UCB SA (UCBJF), which valued the company at ~$2.1B. Ra’s potentially blockbuster therapy Zilucoplan is undergoing a pivotal phase 03 trial for the treatment of generalized myasthenia gravis (gMG) with top-line data expected in early 2021. The self-administered subcutaneous ((SC)) therapy is patient-friendly and will cost only a little more than a quarter of the current intravenous (IV) option, Soliris from Alexion Pharmaceuticals, Inc. (ALXN).
If approved in 2021,