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Will getting FDA approval for pixantrone be of much help to Cell Therapeutics if there is still such a highly adverse reaction to the therapy? Sure, there will be a market for the drug, which will be used to treat lymphoma, leukemia, and breast cancer, but it might not be the billion-dollar blockbuster that some investors were hoping for. Cell Therapeutics continues to dilute share holder value while hoping the FDA grants it mercy. That could still happen, or a buyout could occur, but either would not net a reasonable change to valuation. Pixantrone, if approved, has a very limited market base, far below the $600M - $1 billion that management predicts. Hope, while waiting on the FDA hinges on refinancing debt at $0.20-$0.30 on the dollar. Possible, but not likely. In the meantime the share count is sky high and growing, which would disperse most of any EPS or buyout that developed. Sure, it's a bit speculative...there's a chance the two drugs that are pending approval don't get through. And there's also some question about whether these drugs will be million-dollar drugs or billion dollar drugs. But the drug no one is even looking at is their novel minor-groove binding cancer killer (brostacillin, sp?) further down the pipeline. Nova RX is the only drug developer out there with a candidate that has as much potential. Their balance sheet is getting clean, and once they have some solid income, life will be good. www.fool.com/investing/high-growth/2009/06/02/...hake-the-market.aspx
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