MannKind Corporation (NASDAQ: MNKD) is having an overwhelmingly strong start to the trading session this morning, and for good reason. The comapny announced a new distribution agreement, exciting investors and sending the stock on a run for the top. Today, we’ll talk about:
- The distribution agreement;
- what we’re seeing from MNKD stock as a result; and
- what we’ll be watching for ahead.
MNKD Announces Distribution Agreement
As mentioned above, MannKind Corporation is having an incredibly strong start to the trading session this morning after announcing a new distribution agreement. The announcement came by way of press release early this morning.
In the release, MNKD said that it has entered into an exclusive marketing and distribution agreement with the AMSL Diabetes division of Australasian Medical & Scientific Ltd. The agreemnent surrounds the commercialization of Afrezza Inhalation Powder in Australia.
According to the terms of the agreement, AMSL Diabetes will be responsible for obtaining regulatory and reimbursement approvals to distribute Afrezza in Australia. The company will also be responsible for sales, marketing, and customer support and distribution activities. Of course, MNKD will be responsible for supply and manufacturing.
In a statement, Michael Castagna, CEO At MNKD, had the following to offer:
We are excited to partner with AMSL Diabetes to accelerate patients’ access to Afrezza in Australia. This agreement with AMSL, our third international partnership for Afrezza, aligns us with a partner with a strong presence and knowledge of the diabetes market in Australia, giving us an opportunity to provide more healthcare providers and patients with a new option in their fight against diabetes.
The above statement was followed up by Richard Plowright, Managing Director at AMSL. Here’s what he had to say:
Adding Afrezza to our portfolio is a significant step towards addressing the needs of Australian patients with diabetes who are looking for a mealtime insulin with a unique time-action profile. Through our exclusive partnership with MannKind, we can bring the benefits of inhalable insulin to patients across Australia.
What We’re Seeing From The Stock
One of the first lessons that we learn when we start to work in the market is that the news leads to moves. When it comes to MannKind, the news proved to be incredibly positive.
After all, the new agreement means that the company’s Afrezza product will likely start being sold in Australia relatively soon. This will open the door to a meaningful stream of revenue. So, it’s not surprising to see that excited investors are sending the stock for the top.
As is just about always the case, our partners at Trade Ideas were the first to alert us to the gains. Currently (8:42), MNKD is trading at $1.33 per share after a gain of $0.06 per share or 4.72% 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 MNKD. In particular, we’re interested in following the company’s continued work to expand the reach of Afrezza as well as its work to use technosphere in further indications. Nonetheless, we’ll keep a close eye on the story 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!