2012′s Second Half Hot Penny Stock: DARA
What is DARA BioSciences?
DARA BioSciences, Inc. (Nasdaq: DARA) is a specialty pharmaceutical company that focuses on oncology treatment and supportive care products. In January 2012, the company acquired Oncogenerix, Inc., which holds exclusive marking rights to Soltamox ®. which is an FDA approved product widely used in treatment and prevention of breast cancer.
DARA launched it’s first product, Bionect ® in June 2012. The product is a topical treatment for cancer patients getting radiation therapy. The radiation can cause skin irritation and burns.
In July 2012, DARA BioSciences announced Stephen O. Jaeger to the DARA board of directors. “Steve is a thorough professional with extensive operating experience and a deep understanding of public companies, particularly in the area of pharmaceuticals and biotechnology,” said Dr. David J. Drutz, DARA’s chief executive officer. “His strategic, managerial and financial skills combined with his knowledge regarding specialty products will be of paramount importance as we grow our business. We look forward to Steve’s involvement as we prepare for the upcoming launch of Soltamox ®.
DARA is also in Phase 2 development of a treatment for nuropathic pain for patiens with cancer called KRN5500. There are currently no products approved by the FDA to effectively treat cancer-related neuropathic pain, combined with the potential for the drug to expand as a treatment for other causes of neuropathic pain, the company does see a huge potential for KRN5500.
In only a few months, DARA has been able to completely switch up the company’s strategic outlook as a development-stage business to a revenue-generating one with near-term goals for profitability, and a long-term focus on developing a potential blockbuster in its pipeline.
The evolution of DARA has happened in a rather short period of time. David Drutz, the company’s CEO is excited about the companies growth.
“DARA has emerged in an approximately four-month time frame as an oncology and oncology support-focused company heading for profitability in the nearer term,” Drutz says. “Most of my career has been in drug discovery and drug development. It’s a wonderful area; it’s exciting and it’s thrilling, but it constantly burns money, and it may take years before you can get to a point where, as a shareholder, you see any benefit coming back to you. So as company that is targeted on profitability, it is much more likely for us to command attention.”
DARA has the potential to be 2012′s second half hot penny stock. As of July 30, 2012, DARA is up 4% at 74 cents Biotech play.