Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Why Isoray Will Be Acquired Soon

|About: IsoRay, Inc. (ISR), Includes: BCR, BMY, JNJ, MRK, PFE

Summary

Independent Clinical Studies Show Isoray's Cesium-131 Has A 93-100% Cancer Success Rate.

Isoray's Cesium-131 Has Success Where Bard's Iodine-125, Palladium-103 And Other Cancer Treatments Have Failed.

Isoray's Cesium-131 Is Far Superior To Any Other Cancer Therapy Treatment.

Isoray Is Extremely Undervalued.

Cancer treatment is a multibillion dollar business and Big Pharma CEO's are constantly looking for the next blockbuster drug or treatments to keep their board and shareholders happy. The problem is developing the next blockbuster can take over 10 years of testing, clinical trials, FDA approval and over a billion dollars in costs. On top of all that, the odds of the new product actually making it to market is probably less than one in a thousand. So an alternative for Big Pharma is to find a smaller company, that already has a blockbuster drug, with a proven track record and FDA approval, and simply buy it.

Isoray (NYSEMKT:ISR), a small biomedical company out of Richland, Washington, is that small company with the next big blockbuster product. They have a line of patented products, including Cesium-131(which in my opinion is the closest thing I have ever seen to curing cancer), that already hold their CMS codes, is FDA cleared and holds a CE mark for international sales. Also, Medicare and private insurance cover Isoray's products. This means there is no limitation on receiving payment and reimbursements. These are exactly what Big Pharma is looking for in an acquisition target. A completely ready to go product that is far superior to any other brachytherapy treatment and will be a gold mine when matched with Big Pharma's marketing machine.

Cesium-131 is also a multi cancer treatment that is currently FDA approved for treating brain cancer, prostate cancer, lung cancer, ocular cancer, head and neck cancer, and other cancers throughout the body. What is so incredible about Cesium-131 is that it has an unbelievably high success rate and relatively low side effects compared to other cancer treatments.

There have been numerous independent clinical study results, all showing nothing short of incredible results from Cesium-131. Also there are still several ongoing studies we are waiting for results to be published. All are expected to far exceed other cancer treatments due to previous and continuing remarkable results.

This past November at the annual meeting of the Society for Neuro-Oncology, Barrow Neurological Institute, which is among the world's foremost brain cancer research and treatment sites, presented its five year cancer study results of 27 patients who had various deadly brain cancers. All patients had an average of 2 and as many as 4 extensive conventional cancer treatments previous to the study that had failed, all resulting in a recurrence of the cancers in the same locations. These 27 patients were treated with Cesium-131 and the results were astonishing, 26 of the 27 patients had no recurrence of cancer in the treated area. That is a 96% success rate. http://www.isoray.com/press-release/isoray-cesium-131-therapy-stops-brain-cancers-from-recurring-in-treated-locations-where-previous-conventional-treatments-failed/

Isoray's Cesium-131 stopped the recurrence of cancers that all other methods had failed.

Barrow's study results have yet to be published. When the results are published you can be assured more doctors will be looking at Isoray's Cesium-131 to treat and cure patients and Big Pharma will be looking harder at Isoray.

Another study, a "Five Year Prostate-specific Antigen Outcomes In Men Undergoing Prostate Brachytherapy with Cesium-131 at a single institution", was done by the University of Pittsburgh School of Medicine, (Clinical Oncology December 2014 Volume 26, Issue 12, Pages 776-780). This study involved 485 patients that had prostate brachytherapy treatment with Cesium-131. At the time of these results, 367 patients had at least 24 months of follow-up and were included in the study. The study showed that the patients treated with Cesium-131 had a disease-specific survival of 99.5% after five years. www.isoray.com/assets/Benoit_PSA_Outcomes_Clin_Oncol_25_December%202014.pdf

In August Doctors at Weill Medical College of Cornell University in NY published another clinical paper titled "Phase I/II study of resection and intraoperative cesium-131 radioisotope brachytherapy in patients with newly diagnosed brain metastases." (Journal of Neurosurgery August 2014, Volume 121, Issue 2, Pages 338-348) The study was conducted between 2010 and 2012 involving 24 patients, all with newly diagnosed metastasis to the brain. Results of the study showed that after treatment with Cesium-131 there were no local recurrences(100% success rate), no radiation necrosis and minimal toxicity.

These results are remarkable when compared to the standard care for brain metastases, which is whole brain radiation therapy. Whole brain radiation therapy has a high rate of recurrence of the cancer and it also has acute and long-term toxicities. This is yet another study that shows Cesium-131 once again stops the cancers that other cancer treatments cannot and virtually no acute side effects or toxicities. http://thejns.org/doi/abs/10.3171/2014.3.JNS131140

In April, at the Annual Meeting of the American Brachytherapy Society (NYSE:ABS), several oral presentations were made concerning clinical study results of Cesium-131. http://www.isoray.com/press-release/isoray-announces-five-presentations-american-brachytherapy-society-convention-reporting-ongoing-success-cesium-131-fighting-cancer/

One was a "Six-Year Biochemical Outcome in Patients Treated with Cs-131 Brachytherapy as Monotherapy for Prostate Cancer", done at the University of Pittsburg Cancer Institute. The study involved 243 prostate cancer patients treated only with Cesium-131 and the results showed an incredible 95% success rate for freedom from cancer after six years.

Another study, by the Cancer Foundation of Chicago, Westmont, IL, "PSA Outcomes in a single Institution, Prospective Randomized 131Cs/125I Permanent Prostate Brachytherapy Trial", showed after five years patients treated with Cesium-131 had a 93% cancer free rate compared to Iodine-125 of only 90% cancer free rate. It also needs to be noted, Cesium-131 has a much shorter half-life and less side effects compared to Iodine-125, making it safer as well as more effective in treating cancer

In July 2014, a seven year old Peruvian girl that had been diagnosed with inoperable and life threatening brain cancer was treated using Cesium-131. Previous to the Cesium-131 treatment, she had been treated with external whole brain radiation therapy and chemotherapy with no improvement. In fact, her condition was getting worse, even with the other treatments. The seven year old girl was experiencing significant weakness, trouble maintaining alertness and trouble walking. Needless to say, as with other studies, after being treated with Cesium-131, her recovery was nothing short of astonishing. The girl was alert,and eating the next day. Within a couple weeks, she was walking again without assistance. Ten weeks after the Cesium-131 treatment, an MRI scan showed a 70% reduction of the tumor. She also returned to her normal activities and is back in school again without assistance or special accommodations

Her doctor, Dr. Alvarez, said "There is no conventional Neurosurgical option for treatment of this kind of brain cancer. When I informed the patient's relatives about the possibilities of using Stereotactic Interstitial Radiotherapy with a relatively new Cesium-131 seeds, they were conscious about the risks of such an approach. We knew she faced a very short life expectancy. The remarkable 70% reduction in the tumor and the other early results are far better than expected. We are working on a scientific paper in order to share with the scientific community this exciting new way of dealing with these life-threatening cancers." www.reuters.com/article/2014/10/07/idUSnMKWzyPxla+1c8+MKW20141007

When this paper is published, again you can be assured more doctors will be looking at Isoray's Cesium-131 to treat and cure patients and Big Pharma will be looking at Isoray.

The above are just some of the numerous independent clinical study results on Isoray's Cesium-131(prostate cancer, lung cancer, brain cancer, etc…) all with similar astonishing results. Basically, whenever Cesium-131 is used to treat cancer, we are seeing a 93-100% success rate, as shown in the above clinical studies. Along with the already released independent studies using Cesium-131 there are several clinical trials pending data release. The more these positive results are published and released, the sooner the inevitable buyout is coming and the higher the buyout price will be.

I believe potential buyers are Johnson & Johnson (NYSE:JNJ), Pfizer (NYSE:PFE) who has had recent patent losses and a relatively weak pipeline of experimental drugs in later stages of testing (http://www.forbes.com/sites/laurengensler/2015/01/27/pfizer-sales-suffer-from-patent-losses-stronger-dollar/), Merck (NYSE:MRK) and Bristol-Myers Squibb (NYSE:BMY) with their cancer research race with each other, (http://www.reuters.com/article/2015/01/12/us-bristol-myers-merck-co-lung-idUSKBN0KL26320150112) would all benefit from Isoray's product. However, I believe Bard (NYSE:BCR) to be the far more obvious suitor since Cesium-131 is showing far better results with less complications than Bard's Iodine-125 and Palladium-103 cancer treatments. For instance, Bard's Iodine-125 delivers 90% of its lower radiation dosage to the patient over a period of 204 days, where Cesium-131 delivers 90%, of higher energy dosage, to the patient in only 33 days. Making Cesium-131 a far better option for treating cancer with far less side effects. I cannot see Bard allowing Johnson & Johnson, Merck or another Big Pharma to acquire Isoray and Cesium-131 and take away Bard's profits from brachytherapy treatment.

Conclusion

Cesium-131 is has shown thus far to be superior to other cancer therapy treatments. Isoray's products are slowly moving towards the standard care in cancer therapy treatment as more positive independent clinical trial results continue to show Cesium-131's superior results compared to other forms of treatment. Isoray's is the sole manufacturer and distributor of its patented Cesium-131, thus giving them a monopoly in the space. Look for significant sales increase in Isoray products as more and more positive clinical study results are published. I believe Isoray is extremely undervalued at this time. Maxim rates Isoray as a buy with a $5 target price. https://www.tipranks.com/experts/jason-kolbert With Isoray's patented cancer products 93-100% success rates, FDA approval, more clinical study results being release and Isoray being extremely undervalued, look for a buyout by Bard in the near future. And possibly offers from Johnson & Johnson, Merck, Pfizer and Bristol-Myers Squibb.

Disclosure: The author is long ISR.

The author wrote this article themselves, and it expresses their own opinions. The author is not receiving compensation for it (other than from Seeking Alpha). The author has no business relationship with any company whose stock is mentioned in this article.