CERC: Sells CERC-501 for $25 Million; Company Currently Trading Below Cash Value
Zacks Small Cap Research
By David Bautz, PhD
Conclusion and Valuation
Following disappointing clinical results for both CERC-301 and CERC-501, the company is looking to “start anew” with a large amount of cash, a renewed focus on the pipeline, and the hiring of a new CEO. We are looking forward to learning more about the use of CERC-301 in orphan neurological indications, and what those indications might be. We anticipate the company moving ahead with an investigational new drug (IND) application for CERC-611 to begin development as an adjunctive treatment for seizures in patients with epilepsy, and additional details about the clinical path forward after that occurs. We anticipate CERC-406 is at least a couple of years away from the clinic as it is still early in preclinical development.
We estimate Cerecor currently has approximately $28 million in cash and a market cap of approximately $15 million. We see no reason the stock should be trading below cash, and CERC-611 has some intriguing preclinical data to support its development as a treatment for seizures. Our valuation currently stands at $1.50.
http://scr.zacks.com/News/Press-Releases/Press-Release-Details/2017/CERC-Sells-CERC-501-for-25-Million-Company-Currently-Trading-Below-Cash-Value-article/default.aspx
The mind is like a parachute it works best when it is open
VPR Brands LP Reports Record Annual Financial Performance for Fiscal Year 2023 • VPRB • Apr 19, 2024 11:24 AM
Coinllectibles' Subsidiary, Grand Town Development Limited, Acquires Rare Song Dynasty Ceramics Worth Over USD28million • COSG • Apr 18, 2024 8:03 AM
ILUS Provides Form 10-K Filing Update • ILUS • Apr 17, 2024 9:54 AM
Glucotrack Announces Expansion of Its Continuous Glucose Monitoring Technology to Epidural Glucose Monitoring • GCTK • Apr 17, 2024 8:00 AM
Maybacks Global Entertainment To Fire Up 24 New Stations in Louisiana • AHRO • Apr 16, 2024 1:30 PM
Cannabix Technologies Begins Certification of Contactless Alcohol Breathalyzer, Re-Brands product series to Breath Logix • BLOZF • Apr 16, 2024 8:52 AM