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Coley Coverage Initiation

October 04, 2006

We have added Coley Pharmaceutical Group (COLY) to our evaluated company list.

Coley is a company that is focused on developing immunotherapies to treat diseases such as infectious diseases, allergic diseases and cancer. These immunotherapies are based on TLR Therapeutics, a new class of drugs that target the Toll-like receptors (TLRs), found in and on immune cells, which direct the immune system to fight disease.

The company currently has several product candidates in human clinical trials including ProMune (CPG 7909 or PF-3512676) for the treatment of cancer, Actilon for hepatitis C, AVE7279 and AVE0675 for asthma, and VaxImmune as a vaccine adjuvant for cancer and infectious disease. These agents are all designed to activate a member of the TLR family, TLR9, to stimulate the immune system to fight disease.

Coley is currently fairly valued with a market price of $11.22/share. Our 5 & 10 year pipeline valuation is $11.85/share and $7.19/share based on the revenue potential of ProMune and Actilon.

For the full report, please download the PDF version at the top of this page.