Arecor has provided an update on its partnered Specialty Hospital programmes with Hikma Pharmaceuticals. AT307 and AT282 are both novel enhanced formulations of existing, albeit undisclosed, marketed injectable products. The transfer of AT307 to Hikma for further development and, importantly, their commitment to seek approval under the FDA 505(b)(2) pathway triggers an undisclosed milestone payment. However, all rights to AT282 have been returned to Arecor following a portfolio review at Hikma; Arecor will assess options for re-partnering AT282. Given Hikma’s focus and expertise with differentiated/specialty generic products, this collaboration provides strong external validation of Arecor’s capabilities, and we believe Hikma is well placed to capitalise on the potential of AT307. Updating our model generates an Arecor valuation of £174.5m (570p per share) from £179.6m previously.
13 Jan 2023
Arecor Therapeutics: Hikma licence milestone achieved
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Arecor Therapeutics: Hikma licence milestone achieved
- Published:
13 Jan 2023 -
Author:
Franc Gregori | Lala Gregorek | Philippa Gardner -
Pages:
3
Arecor has provided an update on its partnered Specialty Hospital programmes with Hikma Pharmaceuticals. AT307 and AT282 are both novel enhanced formulations of existing, albeit undisclosed, marketed injectable products. The transfer of AT307 to Hikma for further development and, importantly, their commitment to seek approval under the FDA 505(b)(2) pathway triggers an undisclosed milestone payment. However, all rights to AT282 have been returned to Arecor following a portfolio review at Hikma; Arecor will assess options for re-partnering AT282. Given Hikma’s focus and expertise with differentiated/specialty generic products, this collaboration provides strong external validation of Arecor’s capabilities, and we believe Hikma is well placed to capitalise on the potential of AT307. Updating our model generates an Arecor valuation of £174.5m (570p per share) from £179.6m previously.