CASI Pharmaceuticals

US: CASI

$336.9m market cap

$3.6 last close

CASI is a pharmaceutical company that has acquired or licensed a series of drugs that it intends to market in China. These include proprietary drugs licensed from Spectrum Pharmaceuticals and a portfolio of ANDAs. The goal is to seek approval through new pathways that have been opened in the quickly changing Chinese regulatory environment.

Investment summary

CASI announced that it has received approval in China for Evomela. The drug is a formulation of melphalan hydrochloride used in the treatment of multiple myeloma, and CASI obtained the rights to the drug in Greater China from its original developer, Spectrum Pharmaceuticals, in 2014. This put CASI in a unique position to take advantage of the regulatory reforms in China. The drug was approved under the new priority review pathway at the National Medical Products Administration (NMPA, formerly the CFDA) and serves as a test case for this new regulatory regime.

Y/E Dec
Revenue (US$m)
EBITDA (US$m)
PBT (US$m)
EPS (c)
P/E (x)
P/CF (x)
2016A 0.0 (6.4) (6.5) (11.56) N/A N/A
2017A 0.0 (10.0) (10.1) (16.45) N/A N/A
2018E 0.0 (18.4) (18.8) (22.61) N/A N/A
2019E 10.9 (9.8) (14.3) (15.01) N/A N/A
Last updated on 15/02/2019
Industry outlook

The Chinese regulatory authorities have made a series of substantial changes to their process for drug approval in recent years to improve the availability of new drugs. The Chinese National Medical Products Administration (NMPA, formerly the CFDA) has established new classes of applications for drugs that are previously approved outside of China. Additionally, there is a set of criteria for priority review, which can significantly reduce review times.

Last updated on 15/02/2019
Sector
Healthcare
Share price graph
Balance sheet
Forecast net cash (US$m) 69.8
Forecast gearing ratio (%) N/A
Price performance
%
1m
3m
12m
Actual (8.6) 2.3 (6.5)
Relative* (14.1) 0.6 (8.0)
52-week high/low US$8.2/US$2.8
*% relative to local index
Key management
Ken Ren CEO
Alexander Zukiwski Chief Medical Officer
Cynthia Hu Chief Operating Officer