IPXL- Me Take Large Leap Of Faith.

S

stonedinvestor

Since the Dems won I've been circling the generics. They're way beaten down and I imagine will rally soon. Dr Reddy did a secondary over here to raise funds to buy (I believe) a US generic. So I screened with an emphasis as to a likely takeover target. And I wanted of course the biggest risk reward. If I'm getting bought out I want a POP. I want a stock that has fallen from grace and has a prior higher price channel. I came up with Impax Labs. <IPXL>It's lawsuit after lawsuit with these guys and a huge rainmaker was kept off the market causing the stock to creator...
HAYWARD, Calif. -- IMPAX Laboratories, Inc. (OTC: IPXL) today announced that Wyeth (NYSE: WYE), has filed a lawsuit against the Company in the United States District Court for the District of Delaware alleging patent infringement related to IMPAX's filing of an Abbreviated New Drug Application (ANDA) for generic versions of Effexor XR(R) 37.5mg, 75mg and 150mg capsules. IMPAX's submission includes a Paragraph IV certification stating the Company believes its product does not infringe upon Wyeth's listed patents.

Wyeth markets Effexor XR for the treatment of depression. According to Wolters Kluwer Health, U.S. sales of Effexor XR Capsules were approximately $2.5 billion in the 12 months ended January 31, 2006.

"We intend to vigorously defend our ANDA," commented Barry R. Edwards, IMPAX's chief executive officer. "This suit is par for the course for branded pharmaceutical manufacturers attempting to keep patients from access to less expensive medications, even though their patents aren't applicable or will have expired."

Now while this case is making it's way through the court system IPXL has actually had a string of good news to report. Read through the news flow and you will see the launch of two new products and a nice win in the courts against I belive SNY. So it's a gamble but the fact that the bad news is priced in and the good news is what if they won? That's a $2 billion plus drug we're talking about. Isn't that worth a risk? If I'm looking for a sexy way into the US Generic market I buy Impax labs, change the lawyers up and roll the dice!

This is a LT call but I say there's a good chance this little generic gets it's act together and doubles in price. Look at the recent chart. I've been watching since $7.00 and change> it really looks good. The 5 day is especially impressive. The volume today is REALLY nice. I called this one into the big account folks- the one I'm afraid to ask how much they bought. It's a thinking man's game and I'm thinking generic play IPXL.
 
Yup- IPXL was unable to file annual report form 10K for 2005 & 1 QTR ended dec 31, 2004.

I have no idea why they have not fixed this up one could draw many assumptions. The one I'm left with is by the end of 05 the damage was in a $20 stock was single digits and cost of running a company is so much lower on the Pink Sheets, if they were open to selling the company why even make the effort to relist?

SI
 
IIRC, they were late filing because they had to do some restatements and were having trouble ascertaining the correct milestone or royalty payments they had received. They eventually did announce the payments, which were much lower than expected. Since then, any strength (e.g. new drug approvals) has been sold into, but it's been on sort of a steady rise over the past few months.
 
Check these numbers out!
-108 Generic products approved, pending or under development.

-targeting $30 BILLION in sales.

-32 Approved applications.

-21 Applications pending

- 4 ANDA's w/ tentative approval 55 under development

-1 NDA for Branded product pending, 3 additional Brand products under development.

A couple of their products:Claritin-D 24 hour
OxyContin 80mg CR Tablets
Dantrium Capsules
Agrylin Capsules
Rimadyl Caplets (a veterinary product)
OxyContin 10, 20 & 40mg CR Tablets

Honestly, this is a little powerhouse if I won Mega Millions the first thing I would do is buy this company!
 
Some good news this am:
>
"We are very pleased to have received our ninth FDA approval this year, and look forward to offering patients this widely sold anti-depressant as a generic drug beginning immediately," commented Larry Hsu, Ph.D., President and Chief Executive Officer of IMPAX Laboratories.

"In addition, generic Wellbutrin XL is the first of our Tier 3 products to be marketed under the 12-product Strategic Alliance Agreement signed with Teva in July 2001. Under that agreement, upon the first launch date of any Tier 2 or Tier 3 product in the U.S., IMPAX plans to repurchase for $1.00, 16.67% of the IMPAX common stock, or approximately 244,000 shares, sold to Teva during the development phase of the agreement," Dr. Hsu added.

For $1 they can retire 16% of the float.... hummmm.
~stoney: Now all folks who bought with me at $7.25 are looking pretty good at $9.50 this am as the street will slowly learn about this stock NOW!
 
Basing boys, basing here at $9.50 for thrust to old highs. Please this holiday season don't forget about Impax labs! I don't know how I missed this the first time around- but check out this news release- it broke two days after my recommendation so perhaps the SEC links were not up to date when I grazed them: SAC Capital Discloses 5% Stake in Impax Laboratories (IPXL)
Monday, November 27, 2006 1:33 PM -In a 13G filing on Impax Laboratories Inc. (OTC: IPXL), SAC Capital disclosed a 5% (2.94 million shares) stake in the company.

Yes! Agitate baby. Agitate.
 
http://biz.yahoo.com/bw/070102/20070102005435.html

IMPAX Reports SEC Actions
Tuesday January 2, 5:25 pm ET

HAYWARD, Calif.--(BUSINESS WIRE)--IMPAX Laboratories, Inc. (OTC:IPXL - News; "IMPAX" or the "Company") reported that on Friday December 29, 2006, the Securities and Exchange Commission ("SEC") issued an order instituting an administrative proceeding to determine whether, in light of the Company's failure to file reports since September 2004, the registration of its securities under Section 12 of the Securities Exchange Act of 1934 should be suspended or revoked. An Administrative Law Judge will consider the evidence in this matter and is ordered to issue an initial decision within 120 days. Also on December 29, 2006, the SEC suspended trading in IMPAX shares during the 10-business-day period from December 29, 2006 through January 16, 2007 because of the Company's failure to file reports.

The Company has not filed a periodic report since its report for the period ended September 30, 2004 because, as it announced in May 2005, it has been working to determine the appropriate accounting treatment for transactions under its Strategic Alliance Agreement with an affiliate of Teva Pharmaceutical Industries, Ltd. The Company continues to make significant progress in determining the appropriate accounting treatment and completing its 2004 and 2005 financial statements and is optimistic that its continued progress will enable it to avoid such suspension or revocation of the registration of its securities.
 
$7.25 to $10.00. That's a big return and on a lot of shares but look how I can talk myself into holding...

If they were to drop a PR saying that they have gotten the missing years together and applied to relist it could shoot up massive... Then again it could crash greatly.

Nervously holding... Can I look at a 5 year chart and say $15 sure. Can I say delisted and good bye sure. This has become one of the more interesting very risky very rewardy type plays...

Business appears to be gangbusters but why can't they get their financial house in order. Why does the SEC freeze trading for a number of days and then the stock did not sell off? :confused:
 
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