Pink Sheet is part of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC’s registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

This copy is for your personal, non-commercial use. For high-quality copies or electronic reprints for distribution to colleagues or customers, please call +44 (0) 20 3377 3183

Printed By



Executive Summary

Enzon quick-started 1990 with a 4-1/8 point run-up to close up 110% at 7-7/8 in an otherwise sluggish January on Wall Street. The firm's strong showing was tied to four developments relating to its proprietary Pegnology protein-based drug delivery system and the ensuing investment community attention. Enzon's price appreciation began after the company's Jan. 10 annual meeting where the company announced a joint R&D agreement with Amgen to PEG-modify the biotech firm's granulocyte-colony stimulating factor (G-CSF) Neupogen to make the white blood cell growth factor longer lasting. A PLA for Neupogen as an adjunct to chemotherapy was filed on Dec. 28. A week later, the stock picked up more steam from the Jan. 16 announcement of a letter of intent with Erbamont covering foreign marketing rights to Enzon's leukemia drug, PEG-L-asparaginase. Erbamont will assume all costs for foreign clinical trials, registrations and marketing, while Enzon will receive royalties in addition to a significant up-front cash payment. Enzon also reiterated its intent to file a PLA in the U.S. in the next few months for PEG-L-asparaginase for acute lymphoblastic leukemia (ALL), lymphoma and other cancers. The South Plainfield, New Jersey-based company is awaiting FDA approval for its first U.S. product Adagen (PEG-ADA), an orphan drug for the treatment of severe combined immunodeficiency disease ("bubble boy" disease). The NDA was filed in January 1988. While Enzon sparkled, the pharmaceutical component and the "F-D-C" OTC Monthly Index as a whole were lackluster: the 39 stocks in the drug component were off 3.2% in January and the index dropped 3.6%. Overall, decliners outpaced gainers by three-to-one among drug stocks. Still, the index fared better than the Dow Industrials, down 7.6%, and the S&P 400, down 6.1%. Zenith Labs (up 26.7% on a two point gain to 9-1/2) was another bright spot on the index. The generic drug firm began trading on NASDAQ (trading symbol: ZEN) on Dec. 21 following the successful completion of its Chapter 11 reorganization plan. The only other stock to finish January with a significant gain was Cetus (up 11.4% to 15-7/8). A study in the journal Hypertension showing that IL-2 could permanently lower blood pressure in lab rats received widespread publicity Jan. 8 from the American Heart Association. Cetus has begun a pilot study in humans at the State University of New York/Syracuse to see if the biotech product, currently being developed as an anticancer agent, has potential as an antihypertensive. The "F-D-C" OTC Monthly Index adds coverage of 11 new companies this month, including generic firms Zenith and Marsam Pharmaceutical (MSM); the oncology R&D firms Immunogen (IMGN), Cell Technology (CELL), NeoRx (NERX), RIBI Immunochem Research (RIBI) and U.S. Bioscience (UBS); delivery systems R&D companies Liposome Technology (LTIZ) and Advanced Polymer Systems (APOS); the radiopharmaceutical R&D firm Syncor International (SCOR) and topical drug firms Chantal Pharmaceutical (CHTL) and Procyte (PRCY).

You may also be interested in...

Part D Discount Liability Coming Into Focus: CMS Releases Drug Cost Data

Newly released Medicare Part D data sheds light on the sales hit that branded pharmaceutical manufacturers will face when the coverage gap discount program gets under way in 2011

FDA Skin Infections Guidance Spurs Debate On Endpoint Relevance

FDA appears headed for a showdown with clinicians and the pharmaceutical industry over the proposed new clinical trial endpoints for acute bacterial skin and skin structure infections, the guidance's approach for justifying a non-inferiority margin and proposed changes in the types of patients that should be enrolled in trials

Shire Hopes To Sow Future Deals With $50M Venture Fund

Specialty drug maker Shire has quietly begun scouting deals with a brand-new $50 million venture fund, the latest of several in-house investment arms to launch with their parent company's pipelines, not profits, as the measure of their worth




Ask The Analyst

Ask the Analyst is free for subscribers.  Submit your question and one of our analysts will be in touch.

Your question has been successfully sent to the email address below and we will get back as soon as possible. my@email.address.

All fields are required.

Please make sure all fields are completed.

Please make sure you have filled out all fields

Please make sure you have filled out all fields

Please enter a valid e-mail address

Please enter a valid Phone Number

Ask your question to our analysts