Feb 27 (Reuters) - J.P. Morgan Securities started Biodel Corp BIOD.O with an "overweight" rating stating it had a high degree of confidence in a favorable Phase III outcome of the company's insulin product.
The brokerage said the company’s product, VIAject, is an ultra rapid acting injectable insulin product which addresses issues of hypoglycemia and weight gain, the factors that are impeding the use of existing mealtime insulin therapies.
VIAject's potential superior clinical profile could compete with the current products of Eli Lilly and Co LLY.N and Novo Nordisk NOVOb.CO that are dominating the market, and could capture 10 to 15 percent of the market by 2012, JP Morgan said in a note to clients.
The two most important events in the next 12 months are pivotal data from two Phase III trials in the third quarter of 2008 and a potential partnership with a global pharmaceutical company by the fourth quarter or the first half of 2009, the brokerage added.
Shares of the company closed at $14.26 Tuesday on the Nasdaq. (Reporting by Amulya Nagaraj in Bangalore; Editing by Bernard Orr)
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