Original-Research: Pharmena S.A. (von East Value Research GmbH ):

Original-Research: Pharmena S.A. - von East Value Research GmbH

Einstufung von East Value Research GmbH zu Pharmena S.A.

Unternehmen: Pharmena S.A.

ISIN: PLPHRMN00011

Anlass der Studie: Initiating Coverage

seit: 19.11.2015

Kursziel: 32 PLN

Kursziel auf Sicht von: 12 Monaten

Letzte Ratingänderung:

Analyst: Adrian Kowollik

PHARMENA S.A. (PHR PW) is a leading Polish cosmetics and biotech company.

It was founded in 2002 by Polish scientists from the Medical and Technical

Universities in Lodz in order to commercialize their discovery of the

active substance 1-MNA. PHR owns 85 patents for all oral and dermatological

applications of 1-MNA in Europe, North America and Asia, which are valid

until 2025/26.

PHR's main area of activity are dermocosmetics, where the company generates

EBITDA margins of >20%. PHR is market leader in Poland when it comes to

unit sales of hair care products and is expanding abroad (especially to the

Middle East and Asia). New 1-MNA-based products, on which the company is

working, include a dietary supplement and drug, which target the segment of

dyslipidemia. While the dietary supplement received a positive opinion by

the London-based Food Standards Agency (FSA) on 7 October and is expected

to be approved for sale in the EU in Q1/16, the 1-MNA drug (also called

TRIA-662) completed Phase II of research on 30 October. So far, clinical

studies have shown that the drug may be as effective in improving

cholesterol levels as similar therapies especially niacins, however does

not cause serious side effects e.g. flushing, skin burning.

While the global market for dermocosmestics is worth >USD 20bn, the

segment of dietary supplements is valued at >USD 100bn and is expected

to grow at a CAGR of 6-7% in the near future. The global market for drugs

against dyslipidemia is forecast to grow by 9.4% on average to USD 37.9bn

in 2023E. All major drugs against dyslipidemia will soon be without patent

protection. Thus, we are optimistic that PHR will find a buyer for its

1-MNA drug if results of Phase II in Q1/16 are positive.

Our 12-months fair value for PHR's shares of PLN 32 is based on a

Sum-of-the-Parts model, whereby we have valued the dermocosmetics & dietary

supplements segment with a DCF (PLN 10.66) and the 1-MNA drug with a NAV

(PLN 18.28). We see two main growth triggers in the area of dermocosmetics

and dietary supplements: (1) introduction of new products and (2) expansion

of the distribution network especially in the Middle East and Asia. If

results of Phase II are positive, we forecast that the total cash flow from

sale of the drug will reach >USD 250m.

Die vollständige Analyse können Sie hier downloaden:

http://www.more-ir.de/d/13515.pdf

Die Analyse oder weiterführende Informationen zu dieser können Sie hier downloaden

www.eastvalueresearch.com.

Kontakt für Rückfragen

Adrian Kowollik

[e-mail]

-------------------übermittelt durch die EQS Group AG.-------------------

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