Replies to post #198064 on Biotech Values

[Bickema]

Home Run. 1 down 2 to go.

[biocqr]

Bought EGRX yesterday.. good timing. Thanks Dew!

[DewDiligence]

EGRX addendum: Most sell-side analysts had modeled EGRX’s royalty rate on Bendeka at around 15%; since the actual rate is 20%, these analysts will now have to update their models.

[DewDiligence]

EGRX regulatory scorecard:

• FDA approval of Bendeka on 12/8/13 (#msg-119003236);

• FDA approval of alcohol-free Docetaxel today (#msg-119399276);

• PDUFA date for liquid Angiomax on 3/19/16 (#msg-118876127, #msg-118484166);

• Guaranteed US launch date for “big bag” Bendamustine on 5/1/16 (#msg-118558328);

• Meeting with FDA to discuss phase-2 Ryanodex data in EHS (#msg-119245128).

All told, that’s a lot of activity for a relatively small company.

Thanks mainly to Bendeka (#msg-119003236), EGRX will soon be a cash-generation machine—i.e. the kind of acquisition that would be immediately and strongly accretive to EPS for any of the major generic-drug players.

[ChikiTiny]

With regard to Bendeka, will TEVA PUSH the switch? Are they contractually obligated to make the switch? Does the net economic numbers for TEVA compel them to switch? Given that they make 100% on current product and only 80% net on Bendeka, wondering why they will be aggressive to switch? Any infor will be greatly appreciated---apologies if this question has been covered before.

[DewDiligence]

EGRX’s 20% royalty from TEVA on Bendeka sales increases to something higher than 20% if Bendeka obtains a J-code. (Source: Today’s JPM webcast.)

[DewDiligence]

EGRX +14% on Bendeka launch and “hard switch” from Treanda to Bendeka effective 3/30/16:

http://www.sec.gov/Archives/edgar/data/827871/000110465916091950/a16-3075_18k.htm

Eagle Pharmaceuticals, Inc. (Nasdaq: EGRX) is announcing that Teva Pharmaceuticals has commenced shipment of BENDEKA (bendamustine hydrochloride) injection, a liquid, low-volume (50 mL) and short-time 10-minute infusion formulation of bendamustine.

…According to Paul Rittman, Senior Vice President and General Manager, Teva Oncology, “With the launch of BENDEKA, Teva furthers our commitment to providing treatment options for patients with these rare forms of cancer. We believe BENDEKA represents an important benefit to both patients and healthcare providers, and are pleased it is now available. Based on the product profile, we expect BENDEKA to replace TREANDA liquid.”

The 3/30/16 date for TEVA’s discontinuation of Treanda liquid comes from TEVA’s internal documents (sorry, no link).

[DewDiligence]

(EGRX)—TEVA at Cowen webcast says Bendeka will retain 50% of US Treanda market even if generic versions of the lyophilized formulation come to market after a favorable court ruling.

See #msg-119003236 and #msg-118558328 for related info.