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Ligand Pharmaceuticals Incorporated (NASDAQ: LGND) and Metabasis Therapeutics, Inc. (NASDAQ: MBRX) announced they have entered into a definitive merger agreement under which Ligand will acquire all of the outstanding shares of Metabasis.

Metabasis Therapeutics (MBRX) trading halted, pending news

Scientific Learning Corporation (SCIL), Metabasis Therapeutics, Inc. (MBRX), and China Agritech Inc. (CAGC) are today’s top mid-day stocks to watch. Scientific Learning Corporation (SCIL: 5.76 +69.41%) shares jumped more than 70% after the educational software provider reported higher-than-expected preliminary third quarter results. Total booked sales and revenues are expected to be record quarterly highs, ranging from $25.5-26.0 and $19.0-20.0, respectively. Based on these sales, the company expects to report earnings per share in the $0.30-0.34 range for the third quarter. Full results are expected during the week of October 26th. Metabasis Therapeutics, ...

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Let’s rewind for a moment to August 2009 when Novartis, for $3 million and an additional $1 million technology transfer fee, took charge of all research, development and commercialization activities of Opexa’s technology. The deal could be worth a total of $50 million for the Woodlands, TX based company through additional milestone payments and future royalties. Not bad for a biopharmaceutical business that was sporting a mere $5 million market cap at the time.

Could Metabasis Therapeutics, Inc (NASDAQ:MBRX) be the next OPXA? Maybe.

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First, my research on Metabasis:

MRBX has extensive expertise in liver diseases and in the pathways and proteins residing in the liver that are involved in certain metabolic diseases. The company has two proprietary discovery platforms, HepDirect® and NuMimetic™, which the company has used to develop the current product candidates and which are expected to be used to expand the product pipeline in the future.

HepDirect: Pradefovir, MB07133 and MB07811 use HepDirect technology, as do several research programs. In addition to MBRX’s internal programs, the company has worked with Merck and Idenix to discover treatments for hepatitis C by seeking to develop liver-target compounds they have designated. MBRX may also seek to leverage this technology with other companies.

NuMimetic technology: MBRX has developed a library of unique molecules, known as nucleotide mimetics, and have used this library to discover compounds that the company believes have the potential to treat metabolic diseases. MBRX used NuMimetic technology to discover CS-917 and MB07803, and the company is also using it in certain of their advanced research programs including the AMPK discovery project which is being conducted with Merck.

These two technologies alone are attractive enough for an acquisition not to mention the rest of MBRX’s robust pipeline.

Can Metabasis develop these technologies on their own? Perhaps. But do they have the resources to get it done? According to their latest quarterly report that was released in August, probably not. The report states that all research and development activities of MBRX were discontinued for the purpose of preserving cash.

Based on the current operating plan, after considering the impact of these recent transactions, together with the cash available at June 30, 2009, MBRX’s working capital will fund the current operating plan through December 2009.

So, who might be a potential suitor?

MBRX currently maintains a Research Collaboration and License Agreement with Roche. The Company’s HepDirect™ liver-targeted technology is applied to proprietary Roche compounds to develop second-generation nucleoside analog drug candidates for treating hepatitis C virus. The Company will be eligible to receive up to $191.0 million in additional payments upon achievement of predetermined preclinical and clinical development events as well as regulatory and commercialization events.

MBRX already received a non-refundable upfront payment of $10.0 million from Roche in August 2008.

If not Roche, there are a host of other potential buyers. The 7th Annual Pharmaceutical-Biotech Partnering Conference will be held this week (Oct 5-7th). MBRX will attend this conference and I expect the company to demonstrate its leading technologies and product candidates to other attendees such as Merck, GSK, Eli Lilly, Novartis, Abbott Laboratories and so forth.

So, will MBRX be the next OPXA? According to my research, the chances are good.

Disclosure: Long MBRX

(Story Edited by Mark Rich)

Biotech investors interested in seeing more details about these companies and a full list of their related stories can do so by typing the stock ticker symbol into the Stock Quotes box on the right side of the page.

ARIAD Pharmaceuticals, Inc. (NASDAQ:ARIA) announced it is scheduled to present at the Oppenheimer 20th Annual Healthcare Conference being held at the Waldorf-Astoria Hotel in New York City, New York.

 

PolyMedix, Inc. (OTC:PYMX), an emerging biotechnology company developing new therapeutic drug products to treat infectious diseases and acute cardiovascular disorders, has completed a second successful clinical study of its anticoagulant reversing agent, PMX-60056.

 

Ligand Pharmaceuticals Inc., (NASDAQ:LGND) and Metabasis Therapeutics, Inc. (NASDAQ:MBRX) announced they have entered into a definitive merger agreement under which Ligand will acquire all of the outstanding shares of Metabasis.

 

Geron Corporation (NASDAQ:GERN) will announce its financial results for the 2009 third quarter on Thursday, October 29, 2009, after the closing of the equity market.

 

Life Technologies Corporation (NASDAQ:LIFE) announced results for its third quarter ended September 30, 2009.

 

BioSphere Medical, Inc. (NASDAQ:BSMD) – the leader in the use of bioengineered microspheres to treat uterine fibroids, hypervascularized tumors and vascular malformations by a minimally invasive, image-guided medical procedure called embolotherapy –announced the submission to the U.S. Food and Drug Administration (FDA) of an Investigational Device Exemption (IDE) application for a clinical trial for the use of BioSphere’s QuadraSphere® Microsphere product (QuadraSphere) to deliver the chemotherapeutic agent doxorubicin for the treatment of primary liver cancer.

 

International Stem Cell Corporation (OTC:ISCO) and Reproductive Medicine Associates of New York (RMA of New York) have show immature, unfertilized human eggs can be used to create “parthenotes” from which human parthenogenetic stem cell lines may be derived.

 

Curis, Inc. (NASDAQ:CRIS), a drug development company seeking to develop next generation targeted small molecule drug candidates for cancer treatment, announced the Company will be presenting at the Oppenheimer 20th Annual Healthcare Conference at 3:55 p.m. EST on November 3, 2009, at the Waldorf Astoria in New York City.

 

Helicos BioSciences Corporation (NASDAQ:HLCS) announced its operational, technical and scientific highlights for the quarter ended September 30, 2009.

 

PolyMedix, Inc. (OTC:PYMX), an emerging biotechnology company developing new therapeutic drug products to treat infectious diseases and acute cardiovascular disorders, has completed a second successful clinical study of its anticoagulant reversing agent, PMX-60056.

 

ImmunoCellular Therapeutics, Ltd. (OTC: IMUC), a biotechnology company which is focused on the development of novel immune-based cancer therapies, announced additional data from its Phase I clinical trial evaluating ICT-107, the Company’s dendritic-cell based cancer vaccine product candidate for the treatment of glioblastoma multiforme (GBM).

 

Columbia Laboratories, Inc. (Nasdaq: CBRX) announced Robert S. Mills, president and chief executive officer of Columbia Laboratories, Inc. will present at the upcoming Oppenheimer 20th Annual Healthcare Conference.

 

Alkermes, Inc. (NASDAQ: ALKS) announced the initiation of a phase 1 clinical study of ALKS 37, an orally active, peripherally-restricted opioid antagonist with potential to block the opioid agonist effects on gastrointestinal motility, commonly referred to as opioid-induced constipation (OIC).

 

POZEN Inc. (NASDAQ: POZN) announced the results of a Phase I study that showed a novel, investigational combination of enteric-coated aspirin (EC-ASA) an immediate-release omeprazole known as PA65020, is associated with a significantly decreased risk of GI mucosal damage compared to analgesic doses (650 mg twice daily) of over-the-counter enteric-coated aspirin (EC-ASA) in healthy adults treated for one month.

 

NeoPharm, Inc. (OTC:NEOL) announced it has submitted a Phase II protocol o the FDA for the study of liposome entrapped docetaxel (LE-DT), novel, proprietary liposomal delivery system of docetaxel, the active ingredient of Taxotere®, for locally advanced or metastatic pancreatic cancer patients.

 

OSI Pharmaceuticals, Inc. (NASDAQ:OSIP) announced OSI Management will present at the Oppenheimer Healthcare Conference in New York, NY on Tuesday, November 3, 2009 at 3:20pm (Eastern Time) and will provide an overview on the Company’s product portfolio and business developments.

 

Manhattan Scientifics (OTCBB: MHTX) and Senior Scientific, LLC announced they have begun cooperative work to commercialize Senior Scientific’s nano medicine cancer detection technology.

 

Inhibitex, Inc. (NASDAQ: INHX) announced it would host a conference call on Friday, November 6, 2009 at 9:00 a.m. EDT to review the Company’s financial results for the third quarter ended September 30, 2009 and provide an update on recent corporate developments.

 

A study published this month in the journal Tissue Antigens reports that researchers at Roche Molecular Systems (OTC:RHHBY) in Pleasanton, CA have used high-throughput sequencing technology from 454 Life Sciences, a Roche Company, to carry out high-resolution human leukocyte antigen (HLA) genotyping in research samples.

 

Revolutions Medical Corporation (OTCBB:RMCP), producers of the RevVac safety syringe, RevColor, RevDisplay and Rev3D MRI Technology, announced CEO Ron Wheet has been featured in the popular AllPennyStocks.com Spotlight series, produced by TheNewsWire.ca.

 

Rockwell Medical (NASDAQ:RMTI), a fully-integrated biopharmaceutical company offering innovative products and services targeting end-stage renal disease (ESRD), chronic kidney disease (CKD), and iron deficiency anemia, announced today that it has unveiled a new corporate identity consisting of a new logo, Company name and website.

 

Unilife Medical Solutions (OTC:UNIFF) announced it has commenced the filing of international trademarks for Unifill™, which will become the market brand for its portfolio of ready-to-fill safety syringes.

 

Orexigen® Therapeutics, Inc. (Nasdaq:OREX) announced results from new intent to treat (ITT) analyses from the COR-I and COR-II Phase 3 trial of Contrave® (naltrexone SR/bupropion SR), the first of two late stage Orexigen candidates for the treatment of obesity.

 

Cytori Therapeutics, Inc., (NASDAQ:CYTX) will present and provide a webcast of its corporate presentation at the 2009 BIOCOM Investor Conference at 1:00 PM PDT on Tuesday, October 27, 2009.

 

King Pharmaceuticals, Inc. (NYSE:KG) announced it has licensed from Merck Santé S.A.S., an affiliate of Merck KGaA, Darmstadt, Germany, the exclusive rights to market and sell CYANOKIT® 5 g (hydroxocobalamin for injection) ANTIDOTE in the U.S. CYANOKIT® is indicated for the treatment of known or suspected cyanide poisoning, typically caused by smoke inhalation from fires.

 

McKesson Corporation (NYSE:MCK) reported revenues for the second quarter ended September 30, 2009 were $27.1 billion compared to $26.6 billion a year ago.

 

Please note a change to the Merge Healthcare Inc., (NASDAQ:MRGE) third quarter 2009 earnings call. The call, which was previously scheduled for 4:15 PM EDT on Thursday, October 29, 2009, will now be held at 9:00 AM EDT.

 

PPD, Inc. (Nasdaq:PPDI) reported its financial and operating results for the third quarter ended September 30, 2009.

 

Total Nutraceutical Solutions, Inc. (OTC:TNUS), announced the company has formulated and will launch a unique natural whole food mushroom-based Vitamin D supplement.

 

Osteologix, Inc. (OTC:OLGX) announced Philip J. Young, President and CEO of Osteologix, will present a corporate overview and update at the 8th Annual Bio Investor Forum being held this week at the Palace Hotel in San Francisco, California.

 

3SBio Inc. (Nasdaq:SSRX), a leading China-based biotechnology company focused on researching, developing, manufacturing and marketing biopharmaceutical products, announced it will release financial results for the third quarter ended September 30, 2009 after the US market closes on Thursday, November 12, 2009.

 

 

TomoTherapy Inc., (NASDAQ:TOMO) announced four recipients of grants from the first round of its 2009-2010 TomoTherapy® Clinical Investigation Partnership Program.

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