Acrux (acr) A very healthy bio tech stock

[ratkin]

No thread on this little company so thought i would start one off.

Acrux is unusual for a biotech in that it is actually having success in getting its products to market !!
Acrux Limited expects its hormone replacement product, EvaMist - which is designed for women with menopause symptoms - to go on sale in the US within weeks.

This company is very well run and have a number of very promising products in the pipeline including spray on contraception and anti smoking spray to replace patches.

The shareprice went upto 1.70 last year and in july the company had a capital raising , it was fully subscribed at 1.70 , hence the company is now in a healthy financial position.
Since then the credit crunch has seen the shares slammed all the way down to 75c , they have since climbed back to 1.00 on news that their hormone treatment has passed all the approvals needed.

In short the company is in a better position now than at capital raising but is available at a whopping discount to valuations which are all 2.00 plus.

Those who would like to look into the company can start here

http://www.acrux.com.au/IRM/content/default.html where there is a research report

and here where there is a recent newspaper article

http://business.theage.com.au/menopause-treatment-flushed-with-success/20080326-21qb.html

I see these as a great long term buy

[Corporate]

"It will be sold by KV Pharmaceuticals, which last year acquired the exclusive US marketing rights to the product from Acrux's US licensee, VIVUS, for an initial $US150 million ($A163.8 million), most of which was payable on the product receiving US Food and Drug Administration approval."

So do ACR receive this one off rights payment and then a portion of the sale of each unit?

[ratkin]

Intersuisse report should answer your question.
They are doing the hard yards themselves with the next product , the testosterone spray , the reason for the capital raising . The testosterone spray is entering stage three trials and is expected to pass with flying colours.
All the poroducts should recieve approval much easier as the delivery method has now been approved.
The testosteron product will be worth much more than evamist

---------------------------------------------------------
Acrux Limited ACR Thursday, 27 March 2008
This Opportunity Will Get Under Your Skin
Recommendation Speculative Buy
Key Investment Argument
There are few Australian biotechnology companies that have a product in or near
the doctors’ clinic, and Acurx is one of these companies.
• The lead product Evamist™ (Ellavie™) is a transdermal ‘puffer’ containing
oestradiol that is expected to enter the US market within several weeks.
• Evamist™ will be marketed by treatment to relieve the symptoms of
menopause and is the first transdermal spray oestrogen replacement therapy
product approved for use in the United States.
• KV Pharmaceuticals (KV) have sub-licensed Evamist™ from Acux’s Phase III
development partner VIVUS. The deal terms for Acurx are royalties on sales,
indexed to sales.
• KV stated it expects sales of around US$125m about 3 years post launch,
which equates to US$15m to US$20m royalties to Acrux.
Market Overview
In 2006, sales of all prescription oestrogen products were about US$1.4bn, with
the transdermal segment approaching US$300m. The leading transdermal
oestrogen patch is Vivelle-Dot® (Novogyne). Novogyne is a US$130m business
controlling ≈50% of the oestrogen patch market. After the Women's Health
Initiative studies raised safety concerns about hormone therapy (HT), Vivelle-
Dot®, prescriptions increased 37%, while the HT market decreased > 60%,
reflecting Vivelle Dot’s advantages over HT.
Likewise the competitive advantages of Acrux’s technology over the competition
is expected to take market share as well as expand the market;
• Improved safety profile over oral HT therapy,
• Controlled dosing and cosmetically superior, over creams and gels,
• More convenience, cosmetically superior and reduced irritation over patches.
The KV Pharmaceuticals Partnership and Actions Against VIVUS
KV is a specialty pharmaceutical company that develops, markets and acquires
branded and generic pharmaceutical products. KV is a moderate player,
generating year ending March 2007 revenues and NPAT of US$443m and
US$58m respectively. Thus it is a good size US marketing partner.
In November 2006, Acrux took action against VIVUS notifying of a dispute over
Testosterone (Luramist™) and Oestradiol (Evamist™). The Evamist™ dispute
has been mitigated by the KV agreement. In November 2007, Acrux made a
demand for arbitration relating to Luramist™, seeking reversion of all rights
assigned to VIVUS and claiming monetary damages, a portion of milestones and
declaratory relief. The arbitration process is proceeding. The action was taken
due to development delays for Luramist™.
Recommendation
For the Trader - The news that Evamist™ is making sales into the US will attract
investor attention, with price appreciation due to speculative buying anticipated.
For the long-term investor - The competitive advantages of Evamist™ are
expected to take market share from HT and transdermal oestrogen patches. We
expect adoption of Evamist™ to be rapid and believe sales of US$125m within 3
years realistic and achievable.
We retain Acrux as a Speculative Buy.

[ratkin]

http://www.drugs.com/clinical_trials/acrux-reports-compelling-results-market-research-testosterone-md-lotion-3448.html

Here is a report on the progress of the testosterone spray , this is where the long term gains will be really be made

[alexroseinnes]

http://www.drugs.com/clinical_trials/acrux-reports-compelling-results-market-research-testosterone-md-lotion-3448.html

Here is a report on the progress of the testosterone spray , this is where the long term gains will be really be made

ACR has been smashed hard by Opes Prime. It is very illiquid and ANZ have been selling down their 14m shareholding. Good time for bargain hunting. This share has been as high as $1.755.

Acrux was sold down heavily last year by a few small funds. Looks very cheap now.

[ratkin]

Agreed , this is a great one to put away , all the science is continuing , the drugs are proceeding nicely throiugh trials , they have plenty of cash and the opus prime buisness will influence the shareprice but it not going to make any difference to the progress of this company.

Have an order in but it not matched up yet, maybe im being too greedy and should just go for around 80c

[ratkin]

Good news today in that 10454830 shares have changed hands !!! Opus had
10,307,618

ANZ had 6% of opus shares in this company which has been holding the price back . Looks like somebody today has snapped the lot up !!!! . If thats not a huge vote of confidence in the company i dont know what is.
Now the share overhang gone , get ready for up , up and away

[ratkin]

Up to 1.00 in quick order , could well be just the beginning of a long uptrend. Remember these were 1.70 before the sub prime started and since then they have actually gotten a drug to market.

20% rise in a few days with more to come

[ratkin]

some good news this week in that the testosterone spray has moved into phase three trials , while the evamist product has been selling better than expected.
Stock upto 1.17 despite the market weakness with plenty more upside to follow

[ratkin]

More good news today with animal health products going into phase three.

Shareprice up strongly to 1.25 now , company finally being rerated upwards , long way to go yet

[ratkin]

Since starting this thread more than a year ago the company has been doing a good job moving along nicely.
Shareprice has been all over the place ,however that more to do with market panic than anything the company has done.

The testosterone treatment device should be tip top , especially now that the device used by their main competitor has run into problems.

Have held for long time , didnt sell any when the price dropped to 40 c but bought more . In for the long run

[ratkin]

Well , at a high now of 1.45. Obviously good news expected from the trial results due out in a couple of weeks.
The new testosterone treatment could put a rocket under the shareprice.

Fingers crossed for those trial results

[sharer]

Well there's been no news up front but something must be happening.
In recent days hovering around 155 - 160 (currently 159).

[ratkin]

News on the testosterone trials is due any day now.

Its expected to gain approval. Question is how much of that approval is already factored into the shareprice.
Would be a massacre if approval wasnt given

[sharer]

You are right Ratkin. News item just up on their website confirms Axiron (testosterone transdermal) Phase3 results will be published next week (strong hints results will be wonderful). Also details of arrangements with marketers for October & formal NDA before year end; seems expect sales revenues in 2010 & fortunes to be made.
The way all this complicated process has been flagged for a while must i think be already factored into the share price. Enough has been said in advance that it seems clear Phase3 results are very favourable. FDA is encouraging about the NDA stuff still to be done before market day. And ACR have a queue of eager hucksters lining up for a share of the action to get the stuff out there, lots of co-operative doctors keen to prescribe it, & enthusiastic trial patient responses. The number of possible applecarts available to be upset on the run to the bank is rapidly falling. Maybe some retracement as the hype rises next month then possibly falls due to the paperwork delays for NDA (time to accumulate?), but perhaps no more serious runup to be expected until they actually get sales income banked in 18-24 months?

[sharer]

Anticipated price sagging already happening as recent peak near 165 drifting down to 145 today. Psychology may indicate further sag next week when promised reports get published (even if content is as good as pre-flagged).
If considering entry or topup, 135 looks close support. But the USA bureaucratic phase expected in October towards end of year could easily find lower sp levels before NDA approved.
Having sold enough on the runup to pay back the original investment, i'll be looking out for a good re-entry & topup price to add to my residue. Longterm prospects look very good.
Trying to foresee the likely extent of the present detumescence phase i'm inclined to guess, having regard to chart history as well as the currently promising outlook for next year, that a dip below 110 seems unlikely, & i may have to pay 130-ish to rebuild the holding.
But the actual report next week might contain something negative or uncertain, so obviously guesswork and charts need a rerun before setting out orders, & maybe hoping to get them about 120-ish.

[ratkin]

Woohoo , trials succesful , i guess the big rise in shareprice yesterday was from those in the know.

Trial results just announced


“This is an outstanding result and AXIRON™ has well-exceeded our expectations in this
pivotal Phase 3 trial”, said Dr Richard Treagus, CEO and Managing Director of Acrux.
“These results, along with our recent meeting with the FDA, place us in a very strong
position as we now initiate a process to select marketing partners for what we believe
will be a best-in-class treatment for hypogonadal men, in a US$1 billion high growth
market”, he said

[sharer]

Yes, run back up to 159ish last few days, insiders win every time.
I'll try to be patient looking for pullback before adding to holding.
Maybe during next 1 or 2 months; trying to asses risk of another runaway to higher prices spoiling that plan. Whaddya rekkin Ratkin?

[ratkin]

No idea , im a long term holder , more interested in the science than the daily gyrations of the shareprice.
Suspect today is a case of buy the rumour sell the fact

[sharer]

... im a long term holder , more interested in the science than the daily gyrations of the shareprice.
Yes, i agree with you. Anyway, getting expensive to enter now. Today got to 185, closing near 178. (Previous peak near here was mid-2007). On present showing, might consider adding some near 140. But happy to quietly hold and look to the future, as ACR transdermal methodology has other attractive possible applications. Perhaps the next problem to ponder might turn out to be a takeover.

[sharer]

This nice little company is taking off again. Been up to 200 today, may close about 190-195. Hard to guesstimate their near-future "value". Hopefully staff will be queing up at local bank to deposit bucketloads of revenue in a month or so. Next official Report will be interesting.;)

[ratkin]

Gone ballistic today , up 25 cents , with no announcement.

Price now 2.10 and soaring , i suspect there must be some deal done surrounding the testosterone spray

[COLIN]

Gone ballistic today , up 25 cents , with no announcement.

Price now 2.10 and soaring , i suspect there must be some deal done surrounding the testosterone spray

Bought a few yesterday, on a dip to 190. Seems to be faring relatively well today, considering that the ASX in general is having a bad day - maybe because of the CPI rise.

[COLIN]

Up 5% today.
Biomeds are the way to go! Particularly the "Phrase IIIs" it seems.

[ratkin]

Yep , they can languish for years , however when the science comes good they the best rockets on the exchange.

Acrux was especially good as the science all came good at the same time as the credit crisis. Opus prime held tons of them and sold of into an already sellers market.
Your average investor wouldnt of touched them with a barge pole because they were "too cheap" , not in an uptrend and generally unloved.

Forty cents and nobody would touch them , despite the science going great guns. Now less than a year later people are falling over themselves to pay more than two dollars.

I bought my first parel for a dollar a few years ago , bought plenty more during the opus prime selloff and am now just enjoying watching all the ducks line up/
All that was needed was patience and a strong nerve

[COLIN]

Yep , they can languish for years , however when the science comes good they the best rockets on the exchange.

Acrux was especially good as the science all came good at the same time as the credit crisis. Opus prime held tons of them and sold of into an already sellers market.
Your average investor wouldnt of touched them with a barge pole because they were "too cheap" , not in an uptrend and generally unloved.

Forty cents and nobody would touch them , despite the science going great guns. Now less than a year later people are falling over themselves to pay more than two dollars.

I bought my first parel for a dollar a few years ago , bought plenty more during the opus prime selloff and am now just enjoying watching all the ducks line up/
All that was needed was patience and a strong nerve

Congratulations, Ratty, on staying the course. As they say, investing is all about transferring wealth from the impatient to the patient - well, that's what Ron Brierley used to say, but his GPG would sorely test anyone's patience these days!

Anyway, getting back to these biotech stocks: I have been spending quite a bit of time trying to digest some of the very useful information on www.valutech.com.au and would recommend this site to anyone wanting a starting point for exploring this whole field - I hadn't realised there were so many of these listed entities in Aust. The overall gains for the sector in 2009 to date are quite impressive - hugely speculative in most cases, of course. With ACR, BTA, ACL, CXS and PBP now in my portfolio I am probably getting deep enough in, but there are still one or two others that I find quite tempting.

[COLIN]

Further to my post above: I took a plunge into BNO yesterday, principally because I liked the look of their sp trend on the charts, as well as the fact that Valutech's commentary seems reasonably encouraging (given their relatively conservative approach). Bought at 36c and they closed at 40.5c - they peaked at 43c during the day - so I am quite happy with that ongoing trend - even if I haven't much of a clue as to what a bionomic is!

[ratkin]

On the march again , news of partnership must be close

[COLIN]

On the march again , news of partnership must be close

I can hear the Town Crier priming his voice!

[dragonz]

I can hear the Town Crier priming his voice!

I made the plunge today. Probaly held off a bit too long as I dont really understand the bussiness but technically looks good. Up 2 points already. Yah:D

[drillfix]

I made the plunge today. Probaly held off a bit too long as I dont really understand the bussiness but technically looks good. Up 2 points already. Yah:D


Too right Dragonz, chart looks great, fab, Fantastico

Not that it matters, but anybody rdie this one since 40 - 50c ???

[dragonz]

Too right Dragonz, chart looks great, fab, Fantastico

Not that it matters, but anybody rdie this one since 40 - 50c ???

I would love to get a 4 bagger drillfix. As yet I'm still waiting for my 1st 3 bagger. Had a lot of 1/2 baggers however:eek:

[sharer]

Too right Dragonz, chart looks great, fab, Fantastico
Not that it matters, but anybody rdie this one since 40 - 50c ???

Yup:p
But wait, there's less!! - i lost my nerve & sold most for a filthy profit:o
That was before i started seriously studying Phaedrus's many good posts, is my only feeble excuse. I've had so many hopes with tech stocks, and so few have ever been successful (for me), i just couldn't resist a false profit. Working out when to Sell was always my weakest point.
Then i realised that, while it was nice having $$ in the bank it wasn't doing any good there, and with many nervous glances at P's invaluable new graphs and trying to guesstimate the likely degree of greenosity next month, i've been trying to buy back in on the dips. Current average buy a bit over 100c, so still possible to smile:).

[drillfix]

Had a lot of 1/2 baggers however:eek:

That too is pretty good Dragonz, :p

or much better than the Kick up the @sses and slap on the back of the heads Ive had over the past year or so :rolleyes:

[drillfix]

Yup:p
But wait, there's less!! - i lost my nerve & sold most for a filthy profit:o

so still possible to smile:).


Sharer, its ok mate, many folks do that and its easier to talk about and to think about it than it is to put into practice.

Say, have you ever heard of the Turtle Traders?

Well, there are some pretty basic rules they follow and as simple as some of them are, MANY people just cannot stick to these rules and thus out of 50 something intial wanna be turtles only a few survived it to actually stick to the rules and become true turtles.

One of the practices they did was get onto a trade and STAY on that trade until that trend ended. And thats what would make a Turtle different from somebody who trades and just likes to pick Highs and Lows.

Anyways, you probably already know about all that stuff but I thought I would just share that with others here:D anyways.


Dragonz, others, check out the AQA (Aquila Resouces) chart. Another Pearler~!

[ratkin]

The results of the AGM are in and is probably the reason for todays surge.

One note of caution for you short term guys , sounds as if there going to be no big developments until after the new year. Would be suprised to see this go much higher in the short term. Unlikely to be much to drive the price

[dragonz]

The results of the AGM are in and is probably the reason for todays surge.

One note of caution for you short term guys , sounds as if there going to be no big developments until after the new year. Would be suprised to see this go much higher in the short term. Unlikely to be much to drive the price

This one isnt a daytrade for me Rankin. I'm sorta doing a Duncan time line upward trend Megregger scottish forbichine, type move. Basically start out at -10% and move up 1% before I'm kicked out. :D

[drillfix]

Yup:p
But wait, there's less!! - i lost my nerve & sold most for a filthy profit:o
Current average buy a bit over 100c, so still possible to smile:).


Hi again Sharer,

Here ya go mate, just in case and a Turtle Book for anyone else whom wants to take one in.

http://www.robbooker.com/woodchuck/training/turtles/turtlerules.pdf

(please note, different strokes for different folks, sometimes great, sometimes useless, Good, but not gospel).

[sharer]

Hi again Sharer,

Here ya go mate, just in case and a Turtle Book for anyone else whom wants to take one in.
http://www.robbooker.com/woodchuck/training/turtles/turtlerules.pdf
(please note, different strokes for different folks, sometimes great, sometimes useless, Good, but not gospel).

Thanks for that drillfix. I'll try to follow up in the weekend ...

[ratkin]

All quiet on the Acrux front , likely very positive announcement due soon regarding the testosterone treatment.
Price has held up well during the two month wait, we shall soon know more

[COLIN]

All quiet on the Acrux front , likely very positive announcement due soon regarding the testosterone treatment.
Price has held up well during the two month wait, we shall soon know more

I'm still in. Good to see the price break through the $2 barrier today.

[ratkin]

Today announced that ACR are being included in the asx 300. Led to big volume today with the stock up 12 to 219.
Its best day for sometime. Being included in the asx 300 should give it some added credibility and exposure

[ratkin]

Trading halt.
Judging by the way the price shot up to 2.39 just before the halt , it has to be good news

[ratkin]

WOW :t_up::t_up::t_up::t_up:


Highlights:

 Acrux signs exclusive global licensing deal with pharmaceutical giant Eli Lilly
for the commercialisation of AXIRON

 Acrux eligible to receive up to US$335 million milestone payments plus
royalties

 Eli Lilly is the ideal commercial partner for AXIRON:

o established leadership position in men’s health with its erectile
dysfunction therapy Cialis®

o sales, marketing and distribution capability covering 143 countries

o builds on the existing partnership between Acrux and Elanco (animal
health division of Eli Lilly)

 Acrux forecasts maiden profit after tax for 2009/10 between $44 million and
$48 million

 Acrux Board intends dividend payments to commence in 2011, subject to FDA
approval of AXIRON
 Acrux to join S&P/ASX 300 after market close on Friday 19 March 2010

[Lizard]

Nice one, Ratkin! :cool:

[sharer]

WOW :t_up::t_up::t_up::t_up:


Acrux signs exclusive global licensing deal with pharmaceutical giant Eli Lilly
for the commercialisation of AXIRON
Acrux eligible to receive up to US$335 million milestone payments plus
royalties
...
sales, marketing and distribution capability covering 143 countries
...
Acrux forecasts maiden profit after tax for 2009/10 between $44 million and
$48 million Acrux Board intends dividend payments to commence in 2011, subject to FDA approval of AXIRON
...


After following ACR for yonks it is taking time to sink in that for once we have a winner!:)

[ratkin]

Acrux stuns with Eli Lilly deal


<LI class="source ">From: The Australian (http://www.theaustralian.com.au/)

WHO said biotechs were a waste of time and good money? Your columnist admits he's done so on more than one occasion, but we dip our lids to Acrux after its stunning licensing deal that will see its testosterone treatment Axiron marketed globally by big pharma Eli Lilly.
The deal, claimed to be the biggest licensing arrangement entered into by a local biotech, has a headline value of ``up to'' $US335 million ($367m) -- plus royalties believed to be worth about two-thirds of this ($US220m).
The worth of the complete package -- around $600m -- implies a value per Acrux share of $3.75, but there's a time value of money discount and other risk factors involved as well.

[percy]

well done ratkin,
ACR gets a mention in www.theaustralian.com.au business article by tim boreham headed coalseam gas thrills keep on coming.article follow ons from csg article.

[COLIN]

After following ACR for yonks it is taking time to sink in that for once we have a winner!:)
Great news, indeed. I am at present on an extended visit overseas and haven't been able to keep in close touch with market developments, but I would have expected a much larger jump in the sp after the announcement. I guess a high level of expectation was already built into the price.
I do miss having close contact with the market - its very hard to trade on a realtime basis on the ASX or NZX when one is on the other side of the world, away from normal facilities. But I hope lots of people are doing well.
Cheers.

[ratkin]

Some more good news today , Acrux have regained the rights to their female testosterone spray aimed at boosting a womans sex drive .
Has the potential to be another blockbuster further down the track


We are very pleased that Acrux will now be able to control the development and
commercialisation of our novel testosterone spray for women”, said Acrux CEO
Richard Treagus. “We have always believed that it has the potential to generate very
strong commercial returns for Acrux, being potentially the best-in-class product in a
billion dollar market” he added

[drillfix]

Some more good news today , Acrux have regained the rights to their female testosterone spray aimed at boosting a womans sex drive .

Just what the world needs, more sex drive in woman.

What will be next, a spray that grows testicles as well :P

[ratkin]

The drums are starting to beat.

Bio shares expects fda approval by november 27th with a milestone payment of 87 m to follow two weeks later.
Rumours of a 50c dividend by xmas are circulating amoung the tip sheets.
Time to fasten seat belts

[ratkin]

A new all time high , the scramble to be in has begun , fda approval not far away

[COLIN]

A new all time high , the scramble to be in has begun , fda approval not far away

So, how big a Christmas stocking do I need to hang up?

[ratkin]

So, how big a Christmas stocking do I need to hang up?

Forget the stocking , you need a pillow case:)

The annual report was out yesterday , all very bullish . It did say they would be looking at rewarding shareholders , however it wont be by christmas . They are going to finalise the plans in the new year.

The report has just added fuel to the shareprice fire. The FDA decision only a week or two away , and its all expected to be good . Eli Lily have put through hundreds if these applications. they wouldnt of given Acrux such a large upfront payment if they thought there might be some doubt over decision.
Having said that , i just looked at Eli Lillys annual report and they did have a few rejections so it not totally without risk

[ratkin]

Market showing no fear , up 17c today to 2.83 , the rabble scrambling to get on board.

Wasnt so long ago that you couldnt give them away , opus prime affair had them being dumped
all the way down to 40c , soon they will be going up more than that in one day

[ratkin]

3.00 Hope you were all strapped in for the ride. Those who bought during the global financial crisis have reaped huge rewards here

[COLIN]

Speeding ticket, with predictable response.

[ratkin]

For some reason was expecting the stock to stop rising once it reached 3.00 . Looks like its pressing on upwards.
November has arrived so i guess D-Day is fast approaching

[ratkin]

Trading halt concerning Axiron. This looks like its the biggie.
Latest issue of bio shares thinks stock will go to 4.00 with approval.

We will soon know , hate to think what will happen if approval declined though

[ratkin]

:scared::eek2::D:):):t_up::t_up::t_up:

Approval has been granted !!! So far only up to 3.26 , however im sure over the coming weeks it will rise further. The approval has now paved the way for the special dividend.
Shame about the weak US dollar though ,all payments in US dollars

,Acrux receives an upfront payment of $50 million plus $3 million on the transfer of manufacturing assets. Acrux is further eligible for $87 million upon the issuance of marketing authorization by the FDA and up to $195 million in potential commercialization milestones, as well as royalty payments on future global sales if Axiron is successfully commercialized. (All financial terms are denominated in U.S. dollars).




• Axiron® (testosterone) topical solution approved by FDA for marketing in United States
• Acrux joins select group of Australian companies to exclusively develop and achieve FDA approval of a therapeutic drug product
• Acrux will receive a second milestone payment of US$87 million from Lilly, which increases Acrux’s cash to approximately $145 million
• Following launch of Axiron in 2011, Acrux will receive royalties on global sales and is eligible for further commercial milestone payments of up to US$195 million
• Testosterone therapy market in the United States is US$1 billion per annum, growing at 20% annually
• Lilly responsible for obtaining marketing approval for Axiron in territories outside the USA
• Acrux intends to pay a dividend to shareholders early in 2011
• Two further marketing applications under late stage review:

o First animal health product under review by FDA

o Estradiol spray under review by MPA in Sweden

[ratkin]

Posted a year and a half ago


Well , at a high now of 1.45. Obviously good news expected from the trial results due out in a couple of weeks.
The new testosterone treatment could put a rocket under the shareprice.

Fingers crossed for those trial results

The rat knew :)

[ratkin]

IMPOTENCY drug developer Acrux's shares have rocketed after gaining a US nod to sell its testosterone product Axiron.
The US regulator overnight agreed the biotech company could take the drug to market, resulting in an almost instantaneous boon.
The biotech company, started with just $5 million, will have $US87 million deposited in its Melbourne bank account within a fortnight, taking its cash holdings to $145 million.
The news - and the possibility that it could earn Acrux up to $1 billion in royalties - was the toast of the close-knit life sciences sector yesterday afternoon and sent its shares soaring.
One unnamed source described it as "a champagne day for Melbourne biotech" as the stock rose ever upwards during the afternoon to peak at a record $3.62.
They eased to $3.36 - 9.1 per cent higher than its previous close - giving it a market capitalisation of more than $550 million.

The testosterone replacement treatment is licensed to big pharmaceutical Eli Lilly, which is contracted to pay Acrux $US335 million in milestone payments.
But Acrux chief executive Richard Treagus said yesterday the income stream from royalties would be much greater than that figure.
Dr Treagus refused to confirm widespread speculation about a likely $1 billion bonanza for the company during the life of the topical product's patent.
The patent is understood to expire in 2026.
RBS analyst Tanya Solomon said she was "positively reviewing" her price target, which was $3.14 in the lead-up to the FDA announcement.

[sharer]

What chances for some big swinging whatsit to put in a takeover bid at a "modest" price?
Already speculation EliLilly themselves might find it cheaper to do a buyout rather than pay all those juicy royalties for the next quarter century.
Possibly still a half year before divvies show up in the malebox, time for intense wooing.
We should write the company for a few free product samples so we can all stand firm !
:cool:

[buns]

hey well down rat

tad jelous here, it's one of those ones I watched and watched thinking I missed the boat. But she just kept going

I'm hoping for some ACR holders to take profits and move into ACL (pending FDA any day) for a similar, probably larger ride to increased wealth (assuming they also get FDA)

[ratkin]

Dont think your too late , the traders are taking their profits at the moment , however there going to be a string of good news stories
to keep the price moving upwards, there the dividend for starters , also the animal products are still in the pipeline and progressing well.

At some point its going to hit 4.00 As Sharer says there is also a very strong possibility of a takeover bid.

[COLIN]

Posted a year and a half ago



The rat knew :)

Three cheers for my friend ratty! Am glad I stuck with this one.

(Signed) Toad.

[ratkin]

:) Toot toot

Its the AGM today , they should be announcing a very large dividend

[ratkin]

AGM Presentation is out.
Never had a maiden dividend before which was larger than the amount paid for the shares, but looks like its about to happen


we anticipate being able to pay a
dividend of approximately sixty cents per share in the first quarter of 2011. This
represents something of a landmark in the biotech sector In Australia, and subject to a
reasonably successful launch of Axiron we anticipate that the Company should be in a
position to continue to pay dividends in future.

that we continue to maintain our
status as a Pooled Development Fund and that capital gains and dividends are exempt
from tax. We do not expect that this status will be relinquished or altered in the near
future.

[trackers]

Dividend announced. At current prices, around 20%. Technically this looks very good also

[cloggs]

Can anyone advise whether the divident was paid yet. I haven't received anything yet and havent seen any anouncements saying it was. The date was meant to be 19 April.

[soulman]

Can anyone advise whether the divident was paid yet. I haven't received anything yet and havent seen any anouncements saying it was. The date was meant to be 19 April.

Yep, it was paid on the 19th APR. I got mine via direct deposit.

[sharer]

Can anyone advise whether the divident was paid yet. I haven't received anything yet and havent seen any anouncements saying it was. The date was meant to be 19 April.

Yes Cloggs, i got a cheque that cleared ok!
Been looking at expanding a small holding here, future prospects still attractive.

[cloggs]

Thanks, cheque has gone missing. Now have to try and get it reissued.

[ratkin]

Its time cheques were consigned to history

[ratkin]

The rat has sold his holdings today. Been a great ride , was in at a dollar before the GFC, bought more for 40cents , at the hight of the crisis (was heavily critisised by Mr Phaedrus at the time). Today offloaded the last for well over 4 dollars A ten Bagger plus one big dividend

Been a great ride , but the stok had become such a big part of my portfolio thought it was time to move on , for no other reason than wanting to lock it in