Piper Jaffray Reiterates OW Rating, $60 PT On SLXP

Yesterday, Salix Pharmaceuticals, Ltd. SLXP announced the acquisition of worldwide rights (excluding Japan) to Progenics' Relistor (methylnaltrexone), Piper Jaffray reports. “A subcutaneous (SC) formulation is approved for the treatment of opioid-induced constipation (OIC) in patients receiving palliative care, and an oral formulation is in Phase III for patients with chronic, non-malignant pain with OIC,” Piper Jaffray writes. “We believe the products, particularly the oral version, should find a receptive audience within the gastroenterology (GI) and general practitioner (GP) settings, and as such is a good fit for SLXP with the build-out of a GP salesforce on the horizon to support Xifaxan in irritable bowel syndrome. We reiterate our Overweight rating and $60 price target.” Salix Pharmaceuticals closed Monday at $40.12.