BioMarin Pharmaceutical Inc. (BMRN - Free Report) announced that the company earned a $15-million milestone payment from Pfizer, Inc. (PFE - Free Report) . The milestone fee was triggered on the approval of poly (ADP-ribose) polymerase (PARP) inhibitor Talzenna (talazoparib) in Europe.
The drug secured a nod as a monotherapy for the treatment of adult patients with germline breast cancer susceptibility gene (gBRCA) 1/2-mutations, who have human epidermal growth factor receptor 2-negative (HER2-) locally advanced (LA) or metastatic breast cancer (MBC).
The drug is also approved in the United States.
The milestone payment was per the terms of the BioMarin’s agreement with Medivation, In 2015, Medivation purchased Talzenna from BioMarin and was responsible for all research, development, regulatory and commercialization activities pertaining to all indications on a global basis.
Medivation was acquired by Pfizer in September 2016. In accordance with the deal, Medivation paid BioMarin $410 million upfront and is entitled to receive up to an additional $160 million (in aggregate) upon the achievement of regulatory and sales-based milestones, of which $50 million has been earned to date, as well as mid-single digit royalties for Talzenna.
BioMarin’s portfolio consists of seven commercialized products and multiple clinical and pre-clinical product candidates.
Shares of BioMarin have gained 2.1% so far this year, underperforming the industry’s growth of 6.4%.
BioMarin’s key orphan disease drugs — Vimizim and Kuvan — continue to do well, driven by strong demand trends.
Its newest product, Palynziq, is witnessing a solid commercial uptake in the United States. BioMarin’s impressive rare disease pipeline is also progressing well with several data-readouts scheduled this year.
Zacks Rank & Stocks to Consider
BioMarin currently carries a Zacks Rank #3 (Hold). Better-ranked stocks in the healthcare sector include Acorda Therapeutics, Inc. (ACOR - Free Report) and Anika Therapeutics (ANIK - Free Report) , both sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Acorda’s loss per share estimates have narrowed from $3.84 to $3.59 for 2019 and from $3.32 to $3.09 for 2020 in the past 60 days.
Anika’s earnings per share estimates have moved north from $1.21 to $1.31 for 2019 and from $1.21 to $1.33 for 2020 in the past 60 days.
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