Actelion downgraded by Julius Baer

Uncertainties surrounding the prospects for Actelion's endothelinantagonists Tracleer (bosentan) and Veletri (tezosentan) have led analyst Kevin Lyne-Smith at Julius Baer to downgrade the firm from hold to reduce.

Mr Lyne-Smith notes that Actelion has not issued a scheduling update on the two products, and he is concerned that delays in the programs may occur. Phase III clinical data on Tracleer in chronic heart failure are scheduled to be reported at the American Heart Association meeting later this year, but this may also be at risk, he noted. The broker is also less confident that the US Food and Drug Administration advisory committee review of the drug in pulmonary arterial hypertension will be positive, given the current climate at the agency (Marketletters passim).

Mr Lyne-Smith additionally noted that he had been expecting an update on Veletri in June/July, but said this is now more likely to be in September. The company and partner Genentech recently reported disappointing results in the RITZ-1 trial of th drug involving patients with acute heart failure (Marketletter April 30).