Redeye tracks kursdubbling – “the market is too pessimistic” – the world of Business

the Pharmaceutical company Orexo’s kursnedgång after the outcome of patent litigation with Actavis is too big and the market is praising now in an extremely limited potential for Zubsolv beyond september 2019.

this is according to The Redeye, which, although it lowers its justified value of the share to 72 crowns from the previous 85 bucks, but still see a great potential to increase from today’s approximately 36 sek.

“What we believe is based on an overly pessimistic view on the possibilities to be able to defend the other approved patents or for that matter be able to operate in an environment where generics could potentially be launched,” writes analysfirman on the market’s view of Zubsolvs opportunities in the future.

In the middle of november the verdict was handed down in the u.s. patent litigation concerning Zubsolv. The outcome was mixed for Orexo’s part and the analysts were divided in their assessments. Redeye allocated, however, the early positive tone.

Domstolsutlåtandet meant to one of Orexo’s patent was declared valid and that Actavis, a part of Teva, thus making patent infringement. Orexo is protected by the judgment against generic products until september 2019, as the company’s ceo Nikolaj Sørensen in an interview with the News agency, Directly regarded as a positive answer.

another patent was however invalidated and Orexo has appealed the decision, a process that Redeye expects to take about a year. In addition, the ongoing litigation on the other patents.

“We believe that the outcome of patent litigation increases the chance to Orexo and Actavis be reconciled in the future”, comments on the Redeye, which refer inter alia to the costs of running the process, not least against the background of an expected further pressure on prices in the longer term.

another threat to Orexo, which concerned the market is two new depåformuleringar from the Indivior and Braeburn Pharmaceuticals. Both have shown promising results in phase III studies, which, according to analysfirman suggest that they will be approved, with the launch of more than a year.

“Overall, we estimate that the impact on Zubsolv sales initially will be limited,” writes the Redeye, which sees several factors that speak for a slow uptake in the market of the new products.

in the Future it will be important to keep track of any news about new products and more information on compounds in development, notes the Redeye on.

Redeye’s analysis is the so-called order analysis, where Redeye will charge you a fee from the company for their coverage.