10-Bagger Hunt Heads Back to Repros (RPRX)
Repros Therapeutics Inc. (NASDAQ: RPRX) is soaring in the quest for the next ten-bagger…. This is a micro-cap stock that had a $19.1 million market cap before this morning’s news. The company reported that it has received verbal confirmation from the FDA’s Division of Metabolic and Endocrine Drug Products. According to this, the company may initiate its Investigational New Drug Application for the study of oral Androxal as a potential treatment of hypogonadal men with Type II Diabetes with a Phase IIa trial. While the move to chase the next 1,000% potential gainer is often on hype, it is at least easy to see why traders, speculators and investors would be chasing this stock.
According to the press release, The FDA noted no clinical hold issues. It did add that the agency may have some comments on the specifics of the Phase II design. But the company also noted that doses to be tested in the Phase IIa study have been safely tested for longer durations in trials in men for the treatment of secondary hypogonadism.
Repros plans to enroll a total of 60 men into three balanced parallel arms at several clinical sites comparing placebo to two active doses. In a 200 patient study of Androxal in hypogonadal men it was noted that fasting glucose levels were reduced in a significant manner in men whose glucose levels were greater than 104 mg/dL. It was further noted that the higher the glucose level the greater the reduction.
The market is not quite open and at 9:22 AM EST we have seen a 35% gain to $1.01 on 322,000 shares. The average daily volume is 989,000 shares and the 52-week trading range is $0.64 to $10.60.
As of September 30, 2009, the balance sheet here was tiny at 2.5+ million in cash. Just keep in mind that it already announced a capital raise in October, shortly after good news.
We noted that it is at least easy to see why traders, speculators and investors would be chasing this stock. Even at $1.01 after such a large pop… Even considering its news-bump followed by a capital raise, this was a $10 stock just a year ago. This company has also been around since the early 1990’s and used to trade at significantly higher prices.
JON C. OGG
FEBRUARY 2, 2010
Repros Therapeutics Plays Three-Card Monte With Great News, Then Capital Raise (RPRX)
Repros Therapeutics Inc. (NASDAQ: RPRX) was a huge winner yesterday. The news was huge for male hormone treatment against hypogonadism that showed large returns in normal sperm counts and in testosterone. This caused a 100% gain in the stock on an exponential volume surge. But this morning the news is out from the company that the tiny biotech is raising capital. This is actually of little surprise, but it always feels the same as when you play Three-Card Monte on the street of New York.
Repros said this morning that it has entered into a definitive agreement with institutional investors to raise capital. The company is selling 3.5 million shares of common stock at $1.27 per share after closing at $1.86 yesterday. The gross proceeds come to approximately $4.4 million. The reason this is of no shock is that these shares are being offered under a registration statement previously filed and declared effective by the SEC.
Shares have fallen by 21% to $1.46, and the implied market cap before the effect of any securities sale is listed as $22 million. The market capitalization rate here is so small that this is probably more of a win for the company to give it some added capital. The June 30, 2009 balance sheet showed a mere $3.977 million in cash and equivalents. Its current liabilities were listed as $7.481 million, but it also listed no long-term debt.
JON C. OGG
October 8, 2009
Repros Therapeutics (RPRX) Slaughtered On Trial Results
Shares in Repros Therapeutics (RPRX) are off 15% to $.92 on news that the FDA may ask for more data on its lead drug Proellex.
Douglas A. McIntyre
Has Repros Found A Savior? (RPRX)
Repros Therapeutics Inc. (NASDAQ: RPRX) has seen an explosion in its trading this morning. This comes on the heels of recent days where there was a risk that the company might effectively be bankrupt. It had to engage a law firm to assist the company to negotiate a reduction in amounts owed to its vendors.
It had only $2.7 million in cash and cash equivalents a week ago and its accrued expenses were just over $7.5 million. To curb expenses, Repros has also cut compensation by half for all salaried employees after reporting earlier in the month that it had stopped trials of its Proellex drug citing patient safety after reports of higher liver enzymes and after an FDA clinical hold.
To add in another wrench, the firm has also been target of a class action suit and its Androxal drug trial for raising testosterone levels may not have adequate funding.
The 52-week trading range here is $0.65 to $13.94, and its chart looks like a downward staircase, up until this morning. We now have shares up 60% at $1.10 on over 1.8 million shares. It seems as though someone or a group of someones thinks that the company has either lined up some financing or has secured a partner for its other targets.
JON C. OGG
AUGUST 21, 2009
