Over the past few months, the biotech sector saw a large sell-off ignited by pricing worries. Democratic Presidential candidate Hillary Clinton’s “price gouging” tweet she posted had ignited the downturn. On the other hand, this was not the first time that a concern over prices has emerged in the biotech sector. Expensive prices of biotech drugs have been topic of discussion, intermittently, for a good amount of time now. Currently, market sentiment looks to be improving sparked by positive earnings, product approvals, improved guidance and boosting pipeline updates. The sector saw a strong rally with stocks reporting strong gains last week. Despite some company’s continued fall, the majority of biotech companies traded have been in the green. Even the NASDAQ Biotech Index has increased by roughly 16% since mid September.
One company in particular has been making a lot of noise in the biotech sector, SCIVAC THERAPEUTICS INC (OTCMKTS:SVACF). The company focuses on developing, producing and marketing biologic products for human healthcare. SciVac’s flagship product, Sci-B-Vac, is a recombinant third-generation hepatitis B vaccine. Currently in the world, there are over 400 million people infected with hepatitis in all forms. In 2014, 1.3 million hepatitis deaths were reported.
Also the world’s deadliest form of hepatitis, by infections and deaths per year, hepatitis B leads the race, with more than 240 million infections and 780,000 deaths recorded per year. SciVac’s treatment has already been approved in 10 countries globally, and it has proven to be 98% effective. The amazing statistic is that is proven to be 100% effective on newborns. The pronoun “Warren Buffet of Biotech Stocks”, Phillip Frost has endorsed SciVac and stated, “SCIVAC THERAPEUTICS INC (OTCMKTS:SVACF) intends to pursue marketing approvals for Sci-B-Vac in the United States and other territories worldwide, initially focusing on at-risk populations such as End-Stage Renal Disease and HIV patients.”
How Much Share Does Dr. Philip Frost’s Opko Health Inc. (NYSE:OPK)Own Through This Transaction?
On Oct. 26th the company announced that is entered into an agreement to acquire NASDAQ Company VBI Vaccines Inc (NASDAQ:VBIV) to form a commercial-stage company with a licensed hepatitis B vaccine and plans of a preventative and therapeutic vaccine candidates. Both VBI Vaccines Inc (NASDAQ:VBIV) and SCIVAC will hold a joint conference call for shareholders to discuss the proposed merger on Thursday 3:00pm E.S.T, November 5th, 2015. Over the last 10 days SVACF has rallied 29.23% from lows of $0.13 to highs of $0.168.
About SciVac Therapeutics Inc.
SciVac Therapeutics Inc., headquartered in Rehovot Israel, is in the business of developing, producing and marketing biological products for human healthcare. SciVac’s flagship product, Sci-B-Vac™, is a recombinant third-generation hepatitis B vaccine. SciVac also offers contract development and manufacturing services to the life sciences and biotechnology markets.
Eanings Review: Rambus Inc. (NASDAQ:RMBS), Revlon Inc (NYSE:REV)
Revlon Inc(NYSE:REV) +2.5% after-hours after announcing that President and CEO Fabian Garcia is stepping down “to pursue other opportunities,” and Executive Vice Chair Paul Meister will oversee operations on an interim basis.
REV also says it expects Q4 revenues of $785M, below $801M from the year-earlier quarter but ahead of analyst consensus estimate of $743M, and a $60M-$80M net loss for the quarter due to a charge related to the recent tax law changes.
REV expects Q4 adjusted EBITDA of $110M-$115M vs. $115M analyst consensus.
CFO Chris Peterson also denies rumors that the company is considering a material asset transfer that would shield assets from lenders.
Rambus Inc.(NASDAQ:RMBS) shares are down 5.5% aftermarket following Q4 results that beat revenue estimates and met on EPS. In-line Q1 guidance (under ASC 605 accounting change) has revenue from $94M to $100M (consensus: $100.38M) and EPS from $0.17 to $0.23 (consensus: $0.18).
Revenue breakdown: Royalties, $77.9M (+10% Y/Y); Product, $8.5M (-27%); Contract and other revenue, $15.5M (+2%); Licensing billings, $76.6M (+18%).Key metrics: Non-GAAP operating margin, 31%; total operating expenses, $67.5M; cash and equivalents, $172.2M; cash flow from operations, $33.3M.
ADTRAN, Inc. (NASDAQ:ADTN) Hits New Lows After Issuing disappointing Earnings Forecast
ADTRAN, Inc.(NASDAQ:ADTN) slumped to a 52-week low after forecasting below consensus guidance for Q4, revising its revenue estimate downward to $125M from $155M-$165M earlier and seeing EPS of ~$0.01; analysts had expected EPS of ~$0.14 and revenue of $161.2M.
ADTN also projects Q1 to come in at roughly the same as Q4, misses analyst consensus of $167.5M.
CEO Tom Stanton says Q4 results have been hurt by a merger-related review, which ADTN expects to be completed in 60-90 days, and slowdown in the spending at a domestic Tier 1 customer.
MKM Partners analyst Michael Genovese believes the customer is CenturyLink (CTL -2%), which accounted for 24% of ADTN’s total sales in 2016.
The analyst thinks the weakness should prove temporary, adding that ADTN’s performance likely will accelerate into 2019 as the company stands to benefit from 5G spending; MKM trims its ADTN target price to $25 from $27 but keeps its Buy rating.
Big IPO Coming: Celator Pharmaceuticals Inc(NASDAQ:CPXX), Moleculin Biotech’s (MBRX)
Today at 10am Eastern, Moleculin Biotech ticker symbol MBRX will debut on the Nasdaq stock exchange and is being considered as one of the most highly anticipated IPO’s of 2016 by the street. The excitement and anticipation is arising from many experts saying that Moleculin Biotech’s (MBRX) drug annamycin is far superior to Celator Pharmaceuticals Inc(NASDAQ:CPXX) drug daunorubicin.
CPXX which has been bought out by Jazz Pharmaceuticals plc – Ordinary Shares(NASDAQ:JAZZ) for $1.5 Billion Dollars last week, share price ran from $1.6 to $31 in 2 months. Moleculin Biotech’s share structure is a 1.5m public float Priced at $6.