Valuation Lab: Updated Cosmo report “Return to launch mode”

Aemcolo/Relafalk, Cosmo’s novel antibiotic for colon infections, was approved in its first indication for treating travelers’ diarrhea in November, with US and EU launches in Q1 2019. Cosmo’s Aries will commercialize Aemcolo in the US, while Dr. Falk will market the antibiotic under the Relafalk brand in the EU/ROW together with future distribution partners. Aemcolo/Relafalk is likely Cosmo’s most underestimated pipeline product with EUR 550+ peak sales in all indications. The company has ample cash to finance all its development and commercialization plans and strengthen its gastrointestinal/endoscopy product offering through external transactions, thanks to the placement of EUR 175 mn convertible bonds end November.

Key catalysts include:

    • MethyleneBlue EU filing colonoscopy (early 2019)
    • Aemcolo/Relafalk phase II results IBS-D (early 2019)
    • Remimazolam US filing procedural sedation (Q1 2019)

Find the full report as PDF below.