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David Kugelman
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David Kugelman is the President of Atlanta Capital Partners, LLC and the Publisher of the OTC Stock Review. Mr. Kugelman has been in the Investment industry since 1986 and has held the National Association of Securities Dealers Series 7, 24, 63, and 66 licenses, as well as the Certified... More
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  • Financing By Hercules Provides Validation And A Vote Of Confidence 0 comments
    Nov 27, 2013 10:09 AM | about stocks: AMGN, ARIA, CELG, GILD, CLSN

    Celsion announces $20 million strategic loan facility: Celsion (NASDAQ: CLSN) announced that it has entered into a loan agreement with Hercules Technology Growth Capital (NYSE:HTGC) that would permit up to $20 million in new capital distributable in multiple tranches with agreement from Hercules. Celsion drew the first tranche of $5 million upon closing of the loan agreement on November 25, 2013. Approximately $4 million of the proceeds were used to repay the outstanding obligations under the Company's loan agreement with Oxford Finance LLC and Horizon Technology Finance Corporation. The Company anticipates that it would use any additional funding provided under the agreement for working capital or in support of its previously announced strategic acquisition initiative, which is designed to identify new technologies and clinical stage products for its development pipeline.

    1. Overall survival results from the HEAT Study continue to show a positive trend.
    2. Meetings are planned with regulatory agencies in anticipation of a pivotal ThermoDox trial. Management plans to meet with the FDA and China's regulators to discuss the results from a subpopulation of the HEAT Study and a new clinical trial design.
    3. We believe Celsion is about to expand its R&D pipeline. The recent financing gives the company the flexibility to complete an acquisition that will probably draw upon the Company's expertise in oncology. This might be a single drug or a technology that supports development of anticancer drugs.

    THERMODOX BENEFIT NEARS SIGNIFICANCE :

    Celsion has continued to monitor the status of patients who participated in the HEAT Study. The key metric is overall survival, since it is the endpoint favored by the FDA for clinical trials involving oncology therapeutics. While all patients are being followed, a subpopulation that had single tumors in the 3 cm - 7 cm range and was treated with RFA for at least 45 minutes is the focus of the corporate attention. The HEAT Study yielded the first evidence that prolonged heating is more effective than shorter treatment regimens in delivering ThermoDox to the fringes of a tumor. The overall survival data, which is being compiled at the end of each quarter, has been moving closer to showing a significant difference between patients who received the ThermoDox-RFA combination and those treated only with RFA.

    Other interesting companies in the industry are Celgene (NASDAQ:CELG), ARIAD Pharmaceuticals (NASDAQ:ARIA), Amgen (NASDAQ:AMGN), and Gilead Sciences (NASDAQ:GILD).

    Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

    Additional disclosure: OTC Stock Review is not registered as an Investment Advisor or a Broker/Dealer. This information is not an offer to buy or sell securities and is for informative purposes. Any analysis contained herein does not purport to be a complete analysis of the Company and reflects the opinion of the author.

    Themes: long-ideas Stocks: AMGN, ARIA, CELG, GILD, CLSN
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