Dawson James notes
Apricus shares have declined this year for several reasons, including but not limited to: 1) An after-effect from
the March 2012 equity raise; 2) A wait-and-see approach by investors related to the financial impact of the
recent acquisitions; 3) Expectations regarding the finalization of pricing and timing of product launch of Vitaros
in Canada; and/or 4) Uncertainties regarding management transition. Interestingly enough, APRI shares are now
trading at levels below our original recommendation in late 2010, and investors can still achieve considerable
share appreciation (100%+) at our current price target of $5.50 per share.
the potential catalysts for Apricus for the remainder of 2012 and into 2013 are:
1) Soft Launch of Vitaros in Canada by Abbott (H1/2013) targeted at urologists, more comprehensive launch
later next year (H2/2013);
2) Approval in Europe for Vitaros (end of 2012 or early 2013), additional potential partnerships signed in
Europe (Spain, Eastern Europe) 2012-2013;
3) Potential response to existing US FDA Complete Response Letter for Vitaros by partner Warner Chilcott
(Nasdaq/WCRX/Not Rated) late 2012 or early 2013, potential US approval 2013;
4) Additional country filings for Vitaros in Latin America and Rest-of-World, particularly Mexico (2012-
2013);
5) Availability of Room Temperature (RT) second generation formulation of Vitaros (Duoject) 2013;
6) Regulatory guidance by health agencies in the US, Europe and Canada for Femprox (H2/2012);
7) Regulatory guidance by health agencies in the US, Europe and Canada for MycoVa (H2/2012);
8) Re-launch of new manufactured batch of Totect (H2/2012), partnerships signed for Canadian and European
markets (2012-2013);
9) Initiation of pharmacokinetic bioequivalency trials for PrevOnco in H2/2012;
10) Initiation of clinical trials by partner Exodos for NexACT ibuprofen drug candidate in 2013; and
11) Filing in Europe and other territories for NitroMist, as well as potentially additional partnership activity for
this recently acquired product.
