Apricus Bioscience: A Plethora of Pipeline Products With Market Moving Potential

| About: Apricus Biosciences, (APRI)
This article is now exclusive for PRO subscribers.

Apricus Biosciences (NASDAQ:APRI) is trading with a current market cap of just over fifty million with an approved product, a validated drug delivery system, and a plethora of pipeline products that have the potential to move into some very heavy markets over the next few years.

Leading the way is Vitaros, the company's treatment for erectile dysfunction (ED) which was approved in Canada last year. Apricus will also look for approvals in the United States, Europe and the Middle East over the course of 2011, according to recent announcements by the company.

The company already has licensing deals in the works for Vitaros, including a deal in Italy announced in December that comes with an up-front payment of over five million euros. Licensing partner Bracco SpA must see the product as a sure winner in Italy, where the likes of Silvio Berlusconi are to make the product a hit in no time.

Beyond Vitaros, the Apricus pipeline is loaded with potential. Multiple products are in the later stages of development, including PrevOnco for liver cancer, which is being prepared for a Phase III trial, and there are even more products in the early stages of development that will keep Apricus sitting on significant milestone events for years into the future, assuming that the company is not purchased first.

Another late stage product is FemProx, a treatment for female sexual arousal disorder. Once completed in the clinical stage, Apricus will look to follow the same path to approval for this product as it did with Vitaros, meaning a filing in Canada first, followed by applications for approval in the United States and Europe.

The above-mentioned PrevOnco leads the oncology pipeline, with multiple product candidates still in their infancy.

Additional late stage products are MycoVa for the treatment of Onychomycosis and RayVa for Raynaud’s Syndrome. Both are being geared up for Phase III.

Apricus also has in its portfolio the validated drug delivery technology NexACT, for which the company will look to boost its pipeline even further by combining the technology with numerous drugs that will be coming off patent over the next couple of years.

On the cash front, Apricus is set for the year, according to a recent company presentation, and expects to be cash flow positive by the end of 2011.

With the pipeline potential and solid cash position, it's tough not to consider shares of APRI a huge bargain while trading at a market cap of fifty million.

With numerous catalysts expected in 2011, Apricus looks like as good a bargain as any right now.

The long term could be even sweeter as the plethora of pipeline products develop.

Disclosure: I am long SPPI.