Roth Positive on Retrophin's (RTRX) Thiola Licensing Deal; Issues Commentary

Roth Capital comments on Retrophin, Inc. (Nasdaq: RTRX) following company news that it entered into a U.S. license agreement with Mission Pharmacal Company for marketing rights to Thiola (tiopronin) for the treatment of cystinuria. The firm rates Retrophin at Buy with a price target of $39.

Analyst Joseph Pantginis commented on the impact of the deal: This acquisition continues to bolster the company’s focus on rare and orphan diseases and continues to build the revenue profile of the company. Due to the new product, Retrophin has increased its revenue guidance for 2014 to $30-35 million from $20-22 million and 2015 guidance to $60-70 from $36-41 million. We believe RTRX has entered a critical execution phase. Ex-U.S. compassionate use of RE-024 in PKAN patients is ongoing and we believe we can receive answers relatively quickly. Retrophin will have real time access to data and may release raw data through 8-K filings as it becomes available. RTRX expects to file an IND within 2 months, followed shortly by a Phase I trial. RTRX is planning to initiate a patient registry for adolescents diagnosed with bilateral juvenile cataracts with Chenodal, which can be an early sign of CTX. RTRX is aware of off-label use of Vecamyl in rage disorders, autism, and Tourette syndrome and is exploring the possibility of initiating an IST to define effect the drug's effects in these indications. RTRX expects to complete enrollment in the potentially pivotal DUET study of sparsentan in FSGS in 4Q14 or 1Q15. Due to the high risk of FSGS patients losing their kidneys, RTRX believes a six figure price for sparsentan would be supported. RTRX expects to initiate a study of RE-034 in infantile spams and membranous nephropathy in 3Q14.

For an analyst ratings summary and ratings history on Retrophin, Inc. click here. For more ratings news on Retrophin, Inc. click here.

Retrophin, Inc. closed at $12.88 yesterday.

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