Antares Pharma Inc (NASDAQ: ATRS) is having an overwhelmingly strong start to the trading session this morning, and for good reason. The company announced that it has entered into a collaboration agreement with Pfizer Inc. (NYSE: PFE) surrounding the development of a combination drug. Today, we’ll talk about:
- The collaboration;
- what we’re seeing from ATRS stock as a result; and
- what we’ll be watching for ahead.
ATRS Heads Up On Agreement With PFE
As mentioned above, Antares Pharma is having an incredibly strong start to the trading session this morning after announcing that it has entered into a development agreement with Pfizer. In a press release issued early this morning, the company said that the collaboration surrounds the development of a combination drug device rescue pen.
The rescue pen will take advantage of the QuickShot® auto injector from ATRS and an undisclosed drug from PFE. In the release, the company said that Pfizer will pay for the development of the product and will be responsible for obtaining FDA approval. Also, the companies intend on entering a separate supply agreement under which ATRS will provide fully packaged, commercial ready finished product to Pfizer at cost plus margin and Pfizer will be responsible for commercialization in the United States should FDA approval be achieved. Also, Antares will receive royalties on net sales of the combination product. In a statement, Robert F. Apple, President and CEO at ATRS, had the following to offer:
We are excited to begin our partnership with Pfizer, one of the world’s premier biopharmaceutical companies, on this important project to develop a rescue pen utilizing our QuickShot technology… This development agreement between Antares and Pfizer further expands our portfolio of pipeline partnered products. Additionally, it increases the potential number of products utilizing our innovative QuickShot auto injector technology platform. We look forward to working closely with Pfizer throughout the development phase of this combination product and assisting them with the FDA drug device approval process.
What We’re Seeing From The Stock
One of the first lessons that we learn when we start to dig into the market is that the news causes moves. In the case of Antares Pharma, the news proved to be overwhelmingly positive. After all, the partnership with Pfizer will only open the door to a potential new revenue stream with zero development costs to the company. So, it comes as no surprise that excited investors are sending the stock on a run for the top. Of course, our partners at Trade Ideas were the first to alert us to the gains. Currently (9:02), ATRS is trading at $2.83 per share after a gain of $0.23 per share or 8.85% thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on ATRS. In particular, we’re interested in following the story surrounding the company’s collaboration with Pfizer and the product that this collaboration could lead to. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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