Apricus: Making Movies With Critical Events Ahead

Jun. 2.11 | About: Apricus Biosciences, (APRI)

Shares of the volatile Apricus Biosciences (NASDAQ:APRI) have again dropped below the five dollar mark, after reaching highs of over six dollars just a few short weeks ago.

The bounce continues between the mid-to-high fours and six dollars - moves that should make the traders happy - as investors await news on partnerships and pipeline developments that could spark an even more profound run higher.

An announcement of additional partnerships for Vitaros - a treatment for erectile dysfunction approved in Canda last year - should be announced during the present quarter, if previous statements by the company are to be believed, to go along with the already-agreed-upon deal with Bracco SpA in Italy.

Should a partnership deal for Canada not be announced as expected over the near term, then some investors may start getting worried and jump ship. That said, Apricus has made strides over the course of 2011 to set the stage for the future influx of Vitaros into the global ED market, and updates on the Canadian launch should be soon forthcoming. According to recent statements by the company, the product is still set for a 2011 launch.

In the meantime, Apricus has turned to producing movies. In a press release issued on Wednesday, Apricus announced that it had "produced a series of online videos on the Company's NexACT drug delivery technology, which enables the rapid absorption of various active pharmaceutical ingredients through the skin, with the goal of improving patient outcomes and reducing side effects."

Not a bad undertaking, in my opinion, but I do take issue with the fact that these videos have been posted to the website with the intention of educating the public, if you're to believe Apricus CEO, Dr. Bassam Damaj, whereas they are probably better served being directed to potential licensing partners and peers.

"This educational video series provides clear, concise answers to the general public about Apricus Bio's proprietary NexACT technology, including a description of its science, chemical composition and biological interactions," stated Dr.Damaj in the release.

The only clear and concise answers that the general public is concerned with right now, is whether or not there is a partner signed for a Vitaros launch, and whether the pipeline is progressing as planned.

There's few among the general public who have the desire to sit through videos about the science behind NexACT. If clinical studies show it works, and if the regulatory agencies agree and approve the technology and its products, then that's good enough for me.

Dr. Damaj does hit on the high point later on in his statement, when he notes that, "The videos also serve to educate our industry colleagues on how NexACTmay improve the efficacy of their drugs and drug candidates."


Potential partners need to see it, not the general public.

All resources should be geared towards landing partners and advancing the pipeline, not producing movies for the public. That's just my opinion, as I don't believe movies will attract new investors.

In additional news, the company announced this week that it has been awarded an Israeli patent for the technology behind RayVa for Raynaud's Phenomenon.

With pending catalysts expected over the near term, including a partner for Vitaros in Canada that should be followed by a commercial launch later this year, it's still worth keeping an eye on APRI shares, and maybe even worth adding on the dips.

Let's just hope the company is as focused on partnerships as it is on producing movies.

Disclosure: I am long APRI.