Basilea's Zevtera and Cresemba revenue set to take off

Financial analysis group ValuationLab has issued a new report on Switzerland’s Basilea (SIX: BSLN), which develops prescription pharmaceuticals that address the clinical challenge of the increasing resistance and non-response to current treatments in the areas of bacterial and fungal infections and cancer, which are often associated with high mortality rates.

Currently two anti-infectives are being rolled out: 1) Zevtera (ceftobiprole medocaril) for lung infections) was launched in core European markets through a dedicated contract hospital field force with Quintiles, with more EU countries to follow this year; and 2) Cresemba (isavuconazole) for invasive mold infections was launched in the US by partner Astellas in April 2015, with the European launch started in first-quarter 2016, commented ValuationLab.

Further upside could come from the new US isavuconazole development plan. With 365 million Swiss francs ($376 million) in cash (year-end 2015), and up to $100 million funding from the US Biomedical Advanced Research and Development Authority (BARDA), Basilea should have sufficient funds to approach profitability in 2018/2019, develop Zevtera in a partnership in various new indications, as well as its early stage compounds, such as oncology drugs BAL101553 and BAL3833, up to next value inflection points.