Nabriva Therapeutics (NASDAQ:NBRV)

NBRV is a good bargin under $3

My takes:

· Xenleta: 5million cases in US, 5-7days course of therapy, $205/275 per treatment day—that is a $6 billion dollars potential market.

· 200 million Market cap is way below its fair value (73 million shares with a price of $2.7 , after market price). The company has a robust pipeline besides Xenleta. CONTEPO will be the next one up for FDA approval. It received CRL in may, but the issue that FDA pointed out was minor. Facility inspections and manufacturing deficiencies at one of its contract manufacturers can be fixed. The FDA did not request any new clinical data or raise any safety concerns. It will be resubmitted for NDA early next quarter, and expected next PDUFA in six months after submission.

· NBRV signed a deal with a Chinese company in 2018 to sell in China, where has bigger market than the US.

“Under the terms of the agreement Roivant Sciences of Hong Kong will make an upfront payment of $5 million to Nabriva, which is based in Dublin, Ireland, and has its U.S. headquarters in King of Prussia. Narbiva (NASDAQ: NBRV) would be eligible for additional payments, described as "about $90 million," tied to achieving milestones related to the development of its new drug candidate Lefamulin. If the product is approved in China, Nabriva would also receive royalty payments.”

· The company has about 74 million cash, cash equivalents and short-term investments and existing cash resources are expected to fund operations into the second quarter of 2020 according to its recent quarterly report. That means no public offering in the near term.