Robertson Stephens Reiterates Strong
Buy Rating on ABGX
SAN FRANCISCO--(BUSINESS WIRE)--March 7,
2000--Robertson Stephens Managing Director and Senior
Biopharmaceuticals Analyst Jay
Silverman today reiterated his Strong Buy rating on Abgenix Inc.
(NASDAQ:ABGX - news).
Abgenix is focused on the development and commercialization of
proprietary monoclonal antibodies
for pharmaceutical applications, including transplant related
conditions, inflammation, autoimmune
diseases and cancer.
``We are reiterating our Strong Buy rating on Abgenix, after the
company announced a large
technology deal with Millenium Pharmaceuticals (NASDAQ:MLNM -
news),'' said Silverman.
``Millenium will have access to Abgenix's Xenomouse technology for a
sizable number of
antibodies. Details of the deal were not disclosed, however, Millenium
will make payments to
Abgenix up to $100 million, including a significant up front payment.
Abgenix will also receive
milestone payments and royalties based upon future product sales.''
``This is the third in a series of similar deals, confirming that Abgenix's
Xenomouse is the preferred
technology for generating future monoclonal antibodies with the
genomics revolution,'' said
Silverman. ``Abgenix now trades at a market cap below that of its
peers. As the dominant player in
the antibody field, we believe that this is a short-lived phenomenon.''
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