After Flops, Ironwood Rebuilds It Pipeline With Liver Disease Deal

Ironwood Pharmaceuticals Inc IRWD has advanced plans to build its pipeline after securing a chance to license Cour Pharmaceuticals’ liver disease candidate CNP-104.
Having stopped the development of two prospects in quick succession, Ironwood began the year with a void where its pipeline used to be.
Ironwood will pay Cour around $20 million in upfront and near-term fees associated with a Phase 1 trial of CNP-104.
If Ironwood likes the Phase 1 data, it can license the drug in return for a financial package that could ultimately total $475 million.
The Company also posted Q3 revenues of $103.7 million, almost stagnant from a year ago, missing the consensus of $105.40 million.
Adjusted EPS of $0.33 came in ahead of the consensus of $0.31.
Total Linzess prescription demand in Q3 was 41 million capsules, +12% Y/Y.
Guidance: For FY21, Ironwood reaffirmed U.S. Linzess net sales growth of 6% - 8%. It expects revenue of $390 - $410 million (consensus of $408.1 million).
Price Action: IRWD shares closed down 2.10% at $12.58 on Thursday.

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