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GUD.V - Knight Therapeutics


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Knight Therapeutics Announces Health Canada Has Approved NERLYNX ® for Early-Stage Breast Cancer

 

MONTREAL, July 16, 2019 (GLOBE NEWSWIRE) -- Knight Therapeutics Inc. (TSX:GUD) ("Knight"), a leading Canadian specialty pharmaceutical company, announced today that Health Canada has approved NERLYNX® (neratinib) for the extended adjuvant treatment of women with early-stage hormone receptor positive, HER2-overexpressed/amplified breast cancer within one year after completion of trastuzumab-based adjuvant therapy1. Knight has the exclusive right to commercialize NERLYNX® in Canada under a license agreement with Puma Biotechnology, Inc. (NASDAQ: PBYI) ("Puma").

 

"The news every woman wants when she has finished her breast cancer treatment is that her cancer is in remission, that she is now cancer free. The approval of NERLYNX® in Canada is even better news." comments Durhane Wong-Rieger, President & CEO of Canadian Organization for Rare Disorders. "Every woman we interviewed who had received NERLYNX® said she was willing to do almost anything to improve the chances, however slight, that her cancer would not return or would not metastasize."

 

According to Canadian Cancer Statistics, breast cancer is the third most commonly diagnosed cancer, accounting for 13% of all cancers.2 It is also the most commonly diagnosed cancer among women.2 Approximately 26,300 women were diagnosed with breast cancer in 2017, and 5,000 died of the disease in the same year.2 A Canadian population-based study estimates that approximately 15 percent of patients with breast cancer have HER 2-positive tumors.3

 

"The approval of NERLYNX® is a significant treatment advance for patients with early breast cancer," said Jonathan Ross Goodman, Chief Executive Officer of Knight. "After the initial treatment, NERLYNX® further reduces the likelihood of the cancer coming back, giving women the possibility to live cancer free."

 

"The approval of NERLYNX® by Health Canada is a major achievement in helping physicians improve treatment outcomes for their breast cancer patients and we look forward to supporting our partner, Knight Therapeutics, in bringing this novel therapy to the Canadian market," said Puma President and CEO, Alan Auerbach....

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Medison Biotech is still very unhappy with management and has published two press releases in the past 10 days (the latest one this morning).

 

Medison Biotech Considers Requisition of Special Meeting of Shareholders of Knight Therapeutics Inc. (https://www.businesswire.com/news/home/20190718005196/en/)

 

Medison Biotech: Jonathan Goodman Takes Advantage of His Own Failure to Create Value, Enriching Himself at the Expense of the Shareholders of Knight Therapeutics (https://www.businesswire.com/news/home/20190709005514/en/)

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Looks like they bought back ~4.6 million shares in July, or ~3% of the company.

 

I have a stupid question. Their NCIB says "[the company] may purchase up to a daily maximum of 88,853 Shares". Their Q2 update said "The NCIB commenced on July 11, 2019...As at August 6, 2019, the Company has purchased 4,657,235 common shares." Obviously this is well above 88k shares per trading day. I have also noticed they have been buying some large blocks, over 1 million shares in a day.

 

This seems to be contrary to the NCIB - are they allowed to do this? What are the rules governing it?

 

Thanks.

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Just finally catching up on this one.

 

Thanks for your posts snowball, NERLYNX was a good find.  I don't know the exact number but it has significant potential.

 

I did 5 minutes of google work and found this on it.  The article references NERLYNX as neratinib but it's the same product.  It's not smoke, the product really works.

 

Results at 2 years of follow-up showed that treatment with neratinib led to a 51% reduction in the risk invasive disease recurrence or death at 2 years compared with placebo.

 

https://www.targetedonc.com/news/health-canada-approves-extended-adjuvant-neratinib-for-earlystage-hr-breast-cancer

 

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Just finally catching up on this one.

 

Thanks for your posts snowball, NERLYNX was a good find.  I don't know the exact number but it has significant potential.

 

I did 5 minutes of google work and found this on it.  The article references NERLYNX as neratinib but it's the same product.  It's not smoke, the product really works.

 

Results at 2 years of follow-up showed that treatment with neratinib led to a 51% reduction in the risk invasive disease recurrence or death at 2 years compared with placebo.

 

https://www.targetedonc.com/news/health-canada-approves-extended-adjuvant-neratinib-for-earlystage-hr-breast-cancer

 

Welcome, GUD seems also interested by shopping in Latin America

 

https://www.grupobiotoscana.com/en/

 

https://braziljournal.com/eurofarma-e-knight-therapeutics-disputam-a-biotoscana

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Transformational acquisition establishes Knight as a premiere pan-American (ex-US) specialty pharma company

 

Executes on Knight’s strategy to build a Rest of World specialty pharmaceutical company and become the partner of choice for top pharmaceutical companies for pan-American (ex-US) in-licensing opportunities

Strong regional infrastructure and management team with a unique footprint across 10 countries in Latin America

Established and diversified portfolio of innovative products across specialty therapeutic areas

Significant organic growth opportunity via robust in-licensing pipeline and a solid platform for future growth via acquisition

Grupo Biotoscana generated revenue of BRL 754 million or C$240 million and adjusted EBITDA of BRL 154 million or C$49 million for the last twelve month period ending June 30, 2019

 

https://www.globenewswire.com/news-release/2019/10/21/1932427/0/en/Knight-Therapeutics-to-Acquire-Grupo-Biotoscana-Establishing-a-Latin-American-Growth-Platform.html

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I went through the slides from knight.  I am glad that they are deploying capital (as 5sigma points out, they are now something like 75% deployed) but it's not immediately clear the benefit.  They mention access to capital and access to knight's existing contacts.  I am just not familiar enough with the industry to determine how much synergy that brings to the table.

 

At least this will silence some of the complaints that knight raised capital and is just sitting on the money and collecting a pay-check.

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Is tomorrow the closing ?

 

Knight will acquire a 51.21% interest from a controlling shareholder group that includes Advent International and Essex Woodlands (the "Private Transaction") for cash consideration of approximately BRL 596 million or C$189 million(1). The Private Transaction is expected to close by November 29, 2019, subject to the satisfaction of customary closing conditions, and will not be subject to anti-trust approval in Brazil.

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