Adamis Pharmaceuticals Corp (NASDAQ: ADMP) is flying early on this morning, and for good reason. The company announced that it has entered into a distribution and commercialization agreement, exciting investors and sending the stock screaming for the top. Today, we’ll talk about:
- The agreement;
- what we’re seeing from ADMP as a result; and
- what we’ll be watching for ahead.
ADMP Flies On Commercialization Agreement
As mentioned above, Adamis Pharmaceuticals is having an incredibly strong day in the market today after announcing that it has entered into a new agreement. In a press release issued early this morning, the company announced that it has enteredinto an exclusive distribution and commercialization agreement with Sandoz Inc. Sandoz is a division of the Novartis Group.
In the release, ADMP announced that the agreement surrounds the commercialization of Adamis’ Symjepi™ product for the emergency treatment of allergic reactions (Type I) including anaphylaxis. According to the terms of the agreement, Sandoz will obtain rights to commercilize the treatment in the United States for an upfront fee and potential performance-based milestones. Also, the company said that it will retain its rights to commercialize its products in territories outside of the United States, but has granted Sandoz the first right of negotiation for these territories. In a statement, Dr. Dennis J. Carlo, President and CEO at ADMP, had the following to offer:
We are very excited about our collaboration with Sandoz. They are among the top pharmaceutical companies in the world and we believe they have the commercial presence and proven track record to maximize the value of Symjepi. We believe the financial terms of this agreement have the potential to bring meaningful recurring revenue to Adamis and we look forward to growing, and possibly expanding, this partnership with Sandoz based on the future success of Symjepi in the market.
What We’re Seeing From The Stock
As investors, one of the first lessons that we learn is that the news moves the market, and the news surrounding Adamis Pharmaceuticals proved to be overwhelmingly positive. After all, the commercialization agreement provides Symjepi™ with a dedicated and experienced sales team and is likely the best move for the company. So, it comes as no surprise that excited investors are sending the stock on a run for the top. At the moment (9:46), ADMP is trading at $4.45 per share after a gain of $1.25 per share or 39.06% thus far today.
Stop wasting your time! Start finding winning trades in minutes with Trade Ideas!
What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on ADMP. In particular, we’re interested in following the story surrounding the commercialization agreement and the performance of the agreement. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
Never Miss The News Again
Do you want real-time, actionable news delivered to your inbox? Join the CNA Finance mailing list below!