Sopharma CEO Ognyan Donev: Good news from US continues

Ognyan Donev, CEO Sopharma

Ognyan Donev, CEO Sopharma

Leading generic pharma producer in Bulgaria – Sopharma (3JR BU), booked 8% y/y rise in sales for Jan-Feb 2017 and announced new move forward in a smoking cessation drug registration in the US in a release published on the Bulgarian Stock Exchange, quoting CEO Ognyan Donev.

Pleasing results from Russia

The Company announced exports advanced 16% y/y for the first two months of 2017. CEO Ognyan Donev said in statement the Company is really pleased with the sales in Russia that accelerated in February. He noted that export sales grow 40% compared to February 2016.

CEO Ognyan Donev hopeful on US developments

Ognyan Donev also said that Sopharma’s management is really hopeful on the latest development with its smoking cessation drug Tabex in the US. Achieve Life Science, which bought the rights to market Tabex in the US from Sopharma, and OnnoGenex Pharmaceutiacals (NASDAQ: OGXI) have announced a strategic collaboration with the National Center for Complementary and Integrative Health (NCCIH) at the National Institutes of Health (NIH) to conduct non-clinical studies in support of an overall clinical development plan for cytisine as a smoking cessation treatment. These non-clinical studies are required by the FDA to support the submission of an Investigational New Drug (IND) application. The collaboration commenced in March 2015 and results of the initial study are expected in the second-quarter of 2017, OncoGenex said in a regulatory filing.

With the help of NIH, Achieve and OncoGenex will update the non-clinical package for cytisine and file the IND application in H2 2017. Phase 1 studies are expected to commence later in 2017 and a Phase 3 trial is expected to start in H1 2018.

Sopharma FY2016 met some of the estimates

Sopharma booked best FY2016 net profit in three years both on one off and cost optimizations. Net income came at BGN 37.3m, 8% below ELANA Trading analysts’ expectations, on additional impairments of Ukrainian investments. Yet, the bottom line is up 47% y/y on profitable divestments of its Serbian investment – Ivancic and Sons. The result is also the strongest in four years.

Check ELANA Trading equity research reports for details