ARK Therapeutics Share Discussion Threads

[nw99] 07/2/2012 11:36

€5.3m EU Framework Programme 7 Grant Award
QualiMeds biodegradable stent technology to be used as part of a broader platform to study the use of tissue regenerative technologies in combination with a Biodegradable Regenerative Stent "BRS" in the treatment of cardiovascular disease.

[freddie ferret] 02/2/2012 16:05

India wanted to copy the West's drugs, now it wants to copy its drugmakers; Ajay Piramal has a $5 billion acquisition 'war chest' Author(s): Robin Pagnamenta Source: The Times (London, England). (Jan. 23, 2012): Business News: p34. From InfoTrac Custom Newspapers. Document Type: Article Full Text: The Times
Full Text: Byline: Robin Pagnamenta Mumbai

One of India's wealthiest men is considering acquisitions in Britain's biotechnology industry as part of a drive to build his company into the sub-continent's first global developer of new medicines.

Ajay Piramal told The Times that Piramal Healthcare was exploring a variety of opportunities in Britain and Europe to bolster its drug research business, which is developing about 40 new treatments for cancer, diabetes and inflammatory disease in India.

In contrast to most Indian drug companies, which focus on low-cost manufacturing of copycat or "generic" drugs, the group has a team of 400 people in its drug research unit in Mumbai.

He said that Piramal had a war chest of nearly $5 billion to strengthen its development operation -- although a series of smaller acquisitions was more likely than a single purchase. He added that his ambition is to transform Piramal into India's first Western-style drug giant by developing innovative new medicines.

"We have the largest drug discovery programme in India and we hope to be able launch a drug in 2013," he said, adding that the company planned to plough at least $175 million on the programme -- a figure that could be increased if necessary.

Piramal Healthcare, one of India's top five pharmaceutical companies, is awash with cash after the $3.7 billion sale of its generic drug business to America's Abbott Laboratories in 2010. The group also has access to a further $2 billion in debt facilities.

"In the drug discovery field there are some very interesting products and people in the UK," Mr Piramal said.

"We are looking at acquiring companies in drug discovery ... anaesthetics and contract manufacturing."

Mr Piramal, whose fortune is estimated at $1.22 billion by Forbes, is one of India's 50 wealthiest people. A scion of the Bombay-based Piramal cotton dynasty, he made the group's first push into pharmaceuticals in the Eighties by buying up Indian drugmaking assets from Western manufacturers including ICI and Roche.

After a period of rapid growth, he spun off Piramal's smaller textiles business to members of his extended family.

He said that 2012 was an attractive time for cash-rich companies to make acquisitions because of depressed valuations and a lack of available sources of finance, which means that many earlystage biotechnology companies are eager to find outside investors to help to support their continuing research.

Piramal Group has a turnover of about $1 billion per year, about 60 per cent of which is derived from its healthcare businesses, which includes contract manufacturing of pharmaceuticals, anaesthetic gases and drug research.

Piramal already owns contract manufacturing plants at Morpeth in Northumberland and Grangemouth, Scotland.

It employs about 700 people outside India.

The group also has a glass-making division, which makes specialist bottles for the perfume and pharmaceutical industries, and a real estate business, which owns one of Mumbai's most sought-after business parks.

The calm revolution

Profile

There is an unusually serene atmosphere at Ajay Piramal's office in Mumbai (Robin Pagnamenta writes). In a city better-known for its blaring car horns and frantic traffic, the chairman of Piramal Group surrounds himself with calming Hindu artworks, soft lighting and beautiful Persian rugs.

"My office reflects my interest in Hindu spirituality," says Mr Piramal, who has earned a billion-dollar fortune by converting his family's textile business into one of India's top pharmaceutical companies. He says he takes inspiration for his business from the Bhagavad Gita, the ancient Hindu scripture.

When he took over the 112-year-old family business after the death of his elder brother in 1983, Bombay's textile mills were in crisis, crippled by strikes and struggling to compete on the world stage. Since then, Mr Piramal's decision to exit the cotton trade and embrace what he calls a "sunrise industry" have proved remarkably astute. He has transformed Piramal into a healthcare powerhouse in fields such as anaesthetic gases and contract drug manufacturing. A separate division makes perfume bottles for the likes of LVMH and a third invests in property.

29% Piramal's growth in earnings since 1988 Source: Times research

Robin Pagnamenta Mumbai

Source Citation
Pagnamenta, Robin. "India wanted to copy the West's drugs, now it wants to copy its drugmakers; Ajay Piramal has a $5 billion acquisition 'war chest'." Times [London, England] 23 Jan. 2012: 34. Gale Power Search. Web. 2 Feb. 2012.
Document URL


Gale Document Number: GALE|A277782159

[ethelredtheready] 01/1/2012 20:42

growth company

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[the_doctor] 09/11/2011 09:58

'just needs a licence deal on cerepro'

I like the 'just' :o)

[joeblogg2] 09/11/2011 08:22

Steady as she goes. With money coming in from manufacturing just needs a licence deal on cerepro to propel this higher!!

[the_doctor] 25/10/2011 09:31

'Something needs to give the share price a bit of verve'

sure - and what could that be?
IMO AKT doesnt have many things that could actually do that, which is why after fishing a few bottoms here, I personally thought anything above say 4p should be sold into.
Who knows though!

[flashheart] 26/9/2011 12:53

Something needs to give the share price a bit of verve.

[deanroberthunt] 26/9/2011 11:50

the drugs don't work they just make you worse, but at least the BoDs can line their pockets again

[deanroberthunt] 26/9/2011 11:49

NORMAL SERVICE RESUMED FOR A UK BIOPHARMA START-UP...........DOWN

[zapa] 24/8/2011 11:58

half yearly. parts 1 & 2.

[joeblogg2] 24/8/2011 11:25

zapa what report? thks Needs deals to get this moving.

[zapa] 24/8/2011 11:16

Report is out.

[the_doctor] 24/8/2011 10:59

I'd be a pretty good doctor I reckon fwiw

This isnt a GP's office and I simply asked because I was intrigued by your investment strategy.

If a company is valued only marginally above, or around its cash level, then unless bad news is issued regarding cash-generation prospects, then I'd see an illiquid trading induced dip as a time to buy, not sell.

[contrarian2investor] 23/8/2011 21:41

the_doctor, I sure hope that you are not or ever were a doctor. Because your bedside manner and clarity could do with some work. All the best with your investments and ADVFN debates. May your glass always be full.

[the_doctor] 23/8/2011 21:37

'If you see potential future value in the company whilst it remains at current levels. Why have you not invested?'

Didnt say I did? Or more to the point, I see the potential, but dont like the risk/reward now that the events I was focused on have now passed



re your question
A AND B!

Because B referred to a period a lot less than that since IPO

I dont really know what you're getting at??

My view is simple really
Over the next 6-12 months say, if I was a shareholder, I'd be looking for AKT to do this or that
If I was going to sell, I'd do so because the company had missed specific targets, not because the share price dropped

IMO if it dropped to 2p tomorrow as a result of someone dumping, I'd not want to sell, since I'd expect it to rise again.

[contrarian2investor] 16/8/2011 19:53

the_doctor, thanks for your concern but it is not required. I was mistaken in thinking that you were also currently an investor in AKT. Alas now you say that you don't even hold any stock.

Cash burn is very important had AKT not burnt through most of the cash they have had since 2004. Then pi's and fundies would NOT be dilute down to these levels around 4p. Had they kept to their initial schedule investors would now be holding a small-mid-cap company. Instead of a company struggling to rise its share price whilst trading below book value.

If you are not a fan of the company then why the concern with MY strategy and investment?

If you see potential future value in the company whilst it remains at current levels. Why have you not invested?





Which of your replies would you like to stick with?
You surely can't hold both!!

"'Can you remember how much money they have burnt through since IPO?'

Reply A)not really relevant IMO

However, that's my point - I would base an investment on a view of their cash burn vs anticipated milestones
I would for example sell if they hadnt brought in more cash by X

Reply B)It is the cash and cash burn that matters, not the share price per se.

[the_doctor] 16/8/2011 09:34

'current mkt cap is £8m , with cash of apprx £8m'

exactly
so if someone dumped a load this week and took the share price to 3p, would you want to be selling at that point? ie. hitting 3p not due to any change in potential
I wouldnt

I dont hold though

[joeblogg2] 16/8/2011 09:22

My understaning is current mkt cap is £8m , with cash of apprx £8m and another £6-7m coming from Boehringer and with the GMP facility and the drugs pipeline, there is a big difference. It is only because of the Cerepro failure the company has been hit big time and lost the City's confidence but if they can licence this out the recovery here in a year or so could be substantial.

[the_doctor] 16/8/2011 09:13

'Can you remember how much money they have burnt through since IPO?'

not really relevant IMO

However, that's my point - I would base an investment on a view of their cash burn vs anticipated milestones
I would for example sell if they hadnt brought in more cash by X

It is the cash and cash burn that matters, not the share price per se.

deciding to sell at a certain price really rather assumes that the market has a clear understanding of AKT's prospects
Going by the past, I'd suggest that is VERY wrong
I say that as someone that posted to warn of likelihood of Cerepro struggling to gain approval both in the initial application and also when they tried to have it re-assessed

[contrarian2investor] 15/8/2011 20:54

the_doctor, strategies are a plenty. I have mine and you have yours. I await confirmation of the milestone payments and their price. That will be the clearest indicator any investor can hope for as to where AKT is heading.

If AKT hits 3p that would indicate to me their potential could well just be that without any substance. You've be here long enough. Can you remember how much money they have burnt through since IPO?

Here is a reminder as to how it all began.

Ark takes advice on possible £50m float
By Rosie Murray-West, City Correspondent

12:01AM GMT 07 Feb 2004

[the_doctor] 13/8/2011 13:09

'Or my stop loss of 3p is triggered.'

up to you, but IMO if you think this is worth buying at 4p, then it would be even more worth buying at 3p.
IMO better to direct selling by events instead
ie. if it dipped to 3p without any bad news etc. would you want to be selling at what would probably be a low point?

[contrarian2investor] 12/8/2011 19:00

I finally managed to get my final tranche of AKT for sub 4p yesterday. I have put them in the bottom drawer and will only look again once major news come out. Or my stop loss of 3p is triggered. IMO If milestone payments are significant then by initial share price target of 6p could be a mere fraction of AKT's long-term price. If like most micro/small UK biotechs AKT portfoio is a dud then I will be fortunate enough to get out at 3p. That's the caveat with most micro biotechs. GLA c2i

[joeblogg2] 28/7/2011 14:39

1.75 mill NT trade at 5p Hopefully, get some contract news soon on the GMP facility as been going on for more than 6 mths.