Vernalis says business progressing in line with views

Vernalis said the company's business is progressing in line with management's expectations, with positive developments across all 2016-17 priorities since its year-end results update in September this year.

"In the commercial cough cold business, unrestricted insurance coverage for Tuzistra XR has expanded from approximately 60% to approximately 75% of US commercial lives, having recently secured coverage at another large insurer," it said in a statement.

"Pharmacy stocking is building with discussions ongoing with multiple national and regional pharmacy chains. Samples have been deployed to the field to encourage prescribing, and shipments to physicians started in October.

"The sales force is fully recruited, following the territory alignment and the team is promoting the new 2016-17 marketing campaign to target physicians.

"We have already seen the impact of these activities with Tuzistra XR prescription growth accelerating week-on-week in the latest four weeks through to 18 November 2016.

"The pipeline of cough cold products in development is progressing to plan; CCP-07 is in filing with FDA with a PDUFA date of 20 April 2017 and CCP-08 is still on track for filing before the end of this calendar year.

"The project to identify a replacement source of supply for Moxatag is progressing to plan.

"The Company's unaudited cash position (including cash and cash equivalents and held to maturity assets), remains strong and at 31 October 2016, was £78.6 million.

"The cash position continues to be positively impacted by the strength of the US dollar, with a significant proportion of our cash denominated in that currency."