Wedbush Upgrades Cubist Pharmaceuticals (CBST) to Outperform; Settles with TEVA - M&A Activity Expected
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Price: $101.94 --0%
Rating Summary:
6 Buy, 13 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 6 | Down: 10 | New: 16
Rating Summary:
6 Buy, 13 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 6 | Down: 10 | New: 16
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Wedbush upgraded Cubist Pharmaceuticals (NASDAQ: CBST) from Neutral to Outperform. PT increased from $25 to $32.
Wedbush analyst says, "Cubist has settled its TEVA (Nasdaq: TEVA) litigation under which CBST retains exclusivity to US CUBICIN sales through at least December 24, 2017, and may receive a specified % of gross margin through a supply agreement with TEVA. Under the terms of the agreement: 1) If Cubist obtains a 6-month extension of marketing exclusivity for CUBICIN under section 505A of the FDA Modernization Act of 1997 (pediatric exclusivity), TEVA may launch its generic daptomycin product in the U.S. on June 24, 2018, under a non-exclusive license with CBST. 2) Otherwise, TEVA may launch on December 24, 2017. Recall that CBST currently has Orange Book patents that are due to expire on September 24, 2019. Pediatric exclusivity, if granted, would add 6 months to that expiration date. 3) In certain limited circumstances, that have yet to be disclosed, Cubist’s license to TEVA would become effective prior to the dates set forth above."
For more ratings news on Cubist Pharmaceuticals click here and for the rating history of Cubist Pharmaceuticals click here.
Shares of Cubist Pharmaceuticals closed at $25.25 yesterday.
Wedbush analyst says, "Cubist has settled its TEVA (Nasdaq: TEVA) litigation under which CBST retains exclusivity to US CUBICIN sales through at least December 24, 2017, and may receive a specified % of gross margin through a supply agreement with TEVA. Under the terms of the agreement: 1) If Cubist obtains a 6-month extension of marketing exclusivity for CUBICIN under section 505A of the FDA Modernization Act of 1997 (pediatric exclusivity), TEVA may launch its generic daptomycin product in the U.S. on June 24, 2018, under a non-exclusive license with CBST. 2) Otherwise, TEVA may launch on December 24, 2017. Recall that CBST currently has Orange Book patents that are due to expire on September 24, 2019. Pediatric exclusivity, if granted, would add 6 months to that expiration date. 3) In certain limited circumstances, that have yet to be disclosed, Cubist’s license to TEVA would become effective prior to the dates set forth above."
For more ratings news on Cubist Pharmaceuticals click here and for the rating history of Cubist Pharmaceuticals click here.
Shares of Cubist Pharmaceuticals closed at $25.25 yesterday.
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