NEW YORK, NY / ACCESSWIRE / May 2, 2017 / JGR Capital Partners, a leading equity research and digital investor relations firm, has announced it has initiated coverage on KaloBios (OTC PINK: KBIO) with a base case financial valuation of $10 per share.
The full report can be found here: KBIO Initiation
KaloBios Pharmaceuticals Inc. (KBIO) is a biopharmaceutical company looking to unlock shareholder value through certain FDA incentives, such as the Priority Review Voucher (PRV) Program. The PRV incentivizes the development of treatments for neglected tropical or rare pediatric diseases and offers the holder of the voucher an accelerated future FDA review. The PRV is fully transferable and seven have been sold for between $67.5 and $350 million, with the most recent transactions at $125 million.
Key Report Highlights:
KaloBios reported positive guidance following a December 2016 meeting with the FDA, in which FDA accepted the company’s intention to use existing safety and efficacy data from previous studies.
JGR Capital Partners believes KaloBios is likely to receive a minimum of one PRV – for the drug benznidazole. The company could also potentially receive a PRV for lenzilumab, a monoclonal antibody. Historical sales prices for PRVs have ranged from $67.5 million to $350 million.
KaloBios has taken numerous positive steps to turn around the company including: extinguishing Martin Shkreli’s stake and all association with the company, becoming current with their SEC filings and the new management team successfully executing on the pipeline so far.
JGR Capital Partners feels KaloBios offers investors the unique opportunity to invest in a biotechnology company with a stock moving catalyst (benznidazole drug approval before the end of year and a PRV), not specifically tied to the successful commercialization and marketing of a specific drug. Given KaloBios experienced management team JGR Capital Partners is encouraged by their drug’s commercialization possibilities.
Disclosures pertaining to this report can be found at www.jgrcapitalpartners.com. KaloBios has paid for this report as company sponsored research, which is meant to subsidize the high cost of creating the report and monitoring the security, however the views in the report reflect that of JGR Capital Partners.
About KaloBios Pharmaceuticals Inc.:
KaloBios Pharmaceuticals Inc. (KBIO) is a biopharmaceutical company focusing on developing neglected, rare and orphan diseases such as Chagas, chronic myelomonocytic leukemia and juvenile myelomonocytic leukemia. KaloBios has issued a “Responsible Pricing Model“. The Responsible Pricing Model is constructed around affordability, transparency and a reasonable return. The company’s lead product benznidazole, intended for the treatment of Chagas disease is a potential candidate for priority review, if approved and other FDA incentives, including a PRV and potentially Orphan Drug designation. The company is also developing lenzilumab, which could also qualify for a PRV and potentially Orphan Drug designation. KaloBios recently received the M& A Advisor Turnaround award. More information on KaloBios can be found at www.kalobios.com.
About JGR Capital Partners:
JGR Capital Partners is an international equity research and digital investor relations firm that focuses on companies under $2 billion in market capitalization. The firm is headquartered in New York City, with affiliate offices in Los Angeles, Sao Paulo, and Shanghai. Our team of experienced analysts form investment theses based on company and sector expertise, with a strict focus on fundamentals and valuation. For more information on JGR Capital Partner’s, visit our website at www.jgrcapitalpartners.com.
SOURCE: JGR Capital Partners