SeeThruEquity Initiates Research Coverage on Panacea Global, Inc. with a Target Price of $0.82
Tue, 30 Sep 2014
New York, NY / ACCESSWIRE / September 30, 2014 / SeeThruEquity, a leading independent equity research and corporate access firm focused on smallcap and microcap public companies, today announced that it has initiated coverage on Panacea Global, Inc. (PANG), a development stage biopharmaceutical company focused on the development and commercialization of diagnostic products for the management of cancer.
"PANG is commercializing an early cancer diagnostic test, based on detection of the human aspartyl (asparaginyl) beta-hydroxylase (HAAH), a novel biomarker expressed in malignant cancer cells, specifically in breast, colorectal, lung and prostate cancers. Together with its Canadian partner Gamma-Dynacare Medical Laboratories (GDML), PANG is actively pursuing the launch of its cancer diagnostic test in Canada, expected in the first half of 2015," stated Ajay Tandon, CEO of SeeThruEquity. "We are initiating coverage with a target price of $0.82."
Additional investment highlights are as follows:
Novel cancer specific biomarker offers significant competitive advantage
PANG’s diagnostic test is an ELISA-based assay that detects human aspartyl (asparaginyl) β-hydroxylase (HAAH), a novel biomarker expressed in malignant cancer cells. The company’s cancer diagnostic products will likely have significant competitive advantage over existing diagnostic products owing to their high accuracy, reliability, fast results turnaround and significant cost-reduction. Originally developed by Panacea Pharmaceuticals (Licensor) & Brown University, PANG owns the exclusive worldwide (excluding U.S.) license to the HAAH biomarker technology for diagnostics applications. PANG is currently in its final phase of validating its technology, targeting breast, colorectal, lung and prostate cancers, which encompass 80% of all cancer diagnoses. The tests offer high sensitivity of over 95% compared to 60-65% for existing diagnostic products.
Diagnostic test for four cancers ready for launch in Canada
Together with its Canadian partner Gamma-Dynacare Medical Laboratories (GDML), a leading Canadian medical laboratory, PANG is actively making efforts for developing a commercialization and marketing strategy for its cancer diagnostic test in Canada. By collaborating with GDML and selected KOLs (Key Opinion Leaders), the company believes it can access and effectively penetrate the Canadian market. PANG expects commercialization and marketing launch in the first quarter of 2015. Assuming only the current developed HAAH-based diagnostic test, annual revenue potential in Canada could be $23-45mn (50% or $11-23mn attributable to PANG as per agreement with partners) assuming 5-10% market penetration of the $450mn (2.25mn tests) Canadian diagnostics market for breast, colorectal, lung, and prostrate cancers.
Partnerships in other regions to provide significant market potential
Similar to Canada, PANG is contemplating regional partnerships as the primary strategy for commercializing and marketing cancer diagnostics in other regions. PANG is currently conducting a series of pilot tests in one of the largest cancer hospitals in the world located near Minsk in Belarus. The company is also finalizing regional partnerships in a number of regions, including the Middle East, Europe and South America, as part of its second leg of international market expansion. India, China, and Brazil would be the company’s key target markets for its third tier of international expansion.
The report is available here: PANG Initiation Report. SeeThruEquity is an approved equity research contributor on Thomson First Call, Capital IQ, FactSet, and Zack’s. The report will also be available on these platforms.
Please review important disclosures on our website at www.seethruequity.com.
About Panacea Global, Inc.
Panacea Global Inc. is a biotechnology company focused on the development and commercialization of diagnostic products for the management of cancer. Panacea is commercializing an accurate, timely, cost effective and non-invasive early cancer detection test to increase the quality of life of cancer patients and ultimately saving lives. Panacea’s test is based on the detection of the human aspartyl (asparaginyl) beta-hydroxylase (HAAH), a novel biomarker expressed in malignant cancer cells. Panacea Global has the exclusive worldwide (excluding the USA) rights to HAAH-based cancer tests. Panacea Global Inc.’s shares are publicly traded on the OTCBB under the ticker symbol PANG in the US.
For more information, please visit http://panaceaglobalinc.com
SeeThruEquity is an equity research and corporate access firm focused on companies with less than $1 billion in market capitalization. The research is not paid for and is unbiased. We do not conduct any investment banking or commission based business. We are approved to contribute our research to Thomson One Analytics (First Call), Capital IQ, FactSet, Zacks and distribute our research to our database of opt-in investors. We also contribute our estimates to Thomson Estimates, the leading estimates platform on Wall Street.
For more information visit www.seethruequity.com.