Rodman & Renshaw Provides Color on Prana Biotechnology, Market Outperform

Rodman & Renshaw provided color on Prana Biotechnology PRAN after a meeting with Professor Ashley Bush. In a research report published today, Rodman & Renshaw states, "We value Prana shares based on a universe of a comparable company analysis. We believe that Prana could be valued at par with the average of a comparable group of drug developers with Phase 2 assets, which trade at an enterprise value of approximately $150MM (Page 2). To calculate our target price of $5/ADR, we assume 32MM ADRs outstanding and a cash position of $3MM by mid-2012." At the moment, Rodman & Renshaw has a Market Outperform rating and a price target of $5 placed on the company's stock. On Tuesday, Prana lost 2.44% of its value to close the day at $2.