All-
I realize that 3 years seems like a long time to wait for a a stock to harvest, but if you wait until 3 years, you will loose most of the gains.
Case in point, Ralinepag was licensed to United Therapeutics. $800MM upfront payment, $400 MM in milestone payments, and double digit royalties for an exclusive worldwide license. That cause ARNA to pop about 22% in a day. Each step forward in their pipeline could also cause jumps. Please see the article below for details.
https://www.fiercebiotech.com/biotech/arena-bags-big-deal-un…
Ralinepag gives it a new small-molecule agonist that according to Arena has advantages over Uptravi, which EvaluatePharma predicts will be the top-selling PAH drug in 2022. The company reckons ralinepag has a longer half-life and smaller peak to trough fluctuations than selexipag that could make it a best-in-class therapy.
This deal gives Arena needed cash to push its Phase 3 trials ahead without having to dilute shareholders.
Etrasimod is the prize of ARNA’s pipeline. Etrasimod is being studied in Ulcerative Colitis, Chron’s disease, Biliary Cholangitis(a rare liver disease), and Atopic Dermititis (eczema). Ulcerative Dermitis and Chron’s have blockbuster potential (IMO ~$5B), but the elephant standing in the room is MS. It would seem likely that this drug, an S1P inhibitor, that is likely to have lower side effects than Novartis’ Gilenya, should be slotted for testing sometime. MS News Today has been monitoring Estrasimod too, but the company has not announced any plans for testing at this time per the attached article.
https://multiplesclerosisnewstoday.com/etrasimod-apd334-mult…
This is curious.
Best,
bulwkl
Long ARNA