Perrigo Company (Nasdaq:PRGO; TASE:PRGO) said yesterday after the close of trading on Wall Street that the US Food and Drug Administration (FDA) had granted approval to Dexcel Pharma Technologies, Ltd. for the exclusive marketing of 20 mg Omeprazole delayed-release tablets. The company said it would begin shipping its product during the first quarter of 2008, with annual sales expected to reach $150 - 200 million.
Perrigo's product is a generic version of Prilosec, produced by AstraZeneca plc (NYSE: LSE: AZN), for the treatment of stomach ulcers and heartburn.
Perrigo chairman and CEO Joseph Papa said, "We expect this to be the largest product in Perrigo's 120 year history. While we are excited about the opportunity, we will obviously continue investing in research and development."
Perrigo said that on the basis pre-launch estimates, the Omeprazole product is expected to contribute between $0.20 and $0.25 earnings per share in fiscal year 2008. As a result of the Omeprazole launch, full year earnings for fiscal year 2008 are expected to reach $1.32-$1.47 per share, higher than the analysts' consensus estimate of $1.29.
Perrigo's share gained almost 2% in late trading on Wall Street following the announcement. The company's share was up 3.53% in morning trading on the Tel Aviv Stock Exchange (TASE).
Published by Globes [online], Israel business news - www.globes.co.il - on December 11, 2007
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