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All Eyes Now Focusing On Acquisition Of Amarin

|Includes: AMRN, AZN, Omthera Pharmaceuticals (OMTH)

After Astra Zenaca's (NYSE:AZN) shocking announcement of offering more than 80% premium to buy Omthera (NASDAQ:OMTH), a free fatty acid Omega-3 therapy not yet approved for the very high triglyceride market and with no regulatory exclusivity or long-term patents, and with no development stage combining use with statins, all eyes now focus on Amarin (NASDAQ:AMRN). AZN's bid for OMTH seems to confirm that AMRN's management is doing the right thing by holding out for the very highest offer it can get for shareholders. It's now clear that offers were made to Amarin, but they were not high enough. I have stated multiple time the offer would need to be in the upper $20s range to excite management. Now, AZN and others should be scrambling to bid for AMRN. It's the likely catalyst needed to get serious bidders to the table now, vs. later in the year when FDA approves Vascepa for the wider high triglyceride indication.

Ask yourself, if AZN is willing to pay an 88% premium for a fledgling company only showing clinical results similar to Lovaza's $1-2B market, but without FDA approval yet, and no IP or developed statin program -- what should big pharma pay for AMRN, a company with FDA approval for Lovaza's indication and FDA approval coming in December for a market 10X larger, plus a developed statin program, and more than 19 patents granted through 2030. That's why my target is near $30.