NEW YORK, NY / ACCESSWIRE / November 1, 2018 / Strongbridge Biopharma was one of the biggest winners in the biotech arena yesterday after announcing a deal with Denmark’s Novo Nordisk. Shares of Clovis Oncology were in the red after reporting third quarter results.
RDI Initiates Coverage on:
Strongbridge Biopharma plc
https://rdinvesting.com/news/?ticker=SBBP
Clovis Oncology, Inc.
https://rdinvesting.com/news/?ticker=CLVS
Strongbridge Biopharma plc shares closed up 58.02% yesterday on about 11.6 million shares traded compared to an average trading volume of around 575,000 shares. The company announced that it has entered into an agreement to sell the U.S. and Canadian rights to its adult growth hormone deficiency drug Macrilen to Novo Nordisk. Strongbridge will be receiving an upfront payment of $145 million, plus an equity investment of $36.7 million. As part of the deal, Nova Nordisk will also be paying the company undisclosed royalties on the sales of Macrilen through 2027 and Novo Nordisk will leverage and fund Strongbridge’s rare endocrine commercial field organization for MACRILEN for up to three years. The deal is expected to close next month. CEO of Strongbridge Biopharma, Matthew Pauls remarked, "The upfront payment and equity investment will significantly strengthen the company’s overall financial position."
Access RDI’s Strongbridge Biopharma plc Research Report at:
https://rdinvesting.com/news/?ticker=SBBP
Clovis Oncology, Inc. shares closed down nearly 30% on Wednesday with almost 14 million shares traded. The stock hit a new low of $11.50 yesterday after the company reported disappointing third quarter financial results on Tuesday. The Company posted not only wider than expected loss but also missed on its sales expectations. Clovis said it lost $1.71 a share on revenue of $23 million. Analyst were expecting a loss of $1.59 a share on sales of $30 million. CEO Patrick J. Mahaffy said on the earnings call, "As discussed last quarter, growth remains challenging in the second-line maintenance ovarian cancer setting, but we have efforts underway to address this and we are aggressively moving forward to grow this market and grow our share of this market." He added, "In addition, our development team continues to make significant progress in moving Rubraca beyond its initial ovarian cancer indications. In particular, we were very pleased with the data from the TRITON studies presented at ESMO and at the Prostate Cancer Foundation Scientific Retreat, which also served as the basis for Breakthrough Therapy designation, and we are committed to developing Rubraca in the prostate setting as rapidly as possible to support men with this difficult-to-treat disease.” The company also announced this week the departure of its Chief Commercial Officer.
Access RDI’s Clovis Oncology, Inc. Research Report at:
https://rdinvesting.com/news/?ticker=CLVS
Our Actionable Research on Strongbridge Biopharma plc (NASDAQ: SBBP) and Clovis Oncology, Inc. (NASDAQ: CLVS) can be downloaded free of charge at Research Driven Investing.
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SOURCE: RDInvesting.com