German biotechnology firm MediGene cut its 2006 financial targets this morning after revealing a delay for its genital warts treatment in the USA, sending its shares into a dive.
MediGene said the US Food and Drug Administration had extended its deadline for the review of Polyphenon E Ointment to October 31 from the end of July, putting back any launch for the product into 2007. Investors promptly shaved 8% off the firm’s share price in mid-morning trading, with trading in the firm at 5.79 euros at the time of writing.
The German company trimmed back it revenue expectations for 2006 to 20 to 25 million euros from its earlier forecast of 30 million euros. It also now expects to post a net loss of 10 to 15 million euros; previously it had hoped to break even this year.
The delay will also have an impact on US licensee Bradley Pharmaceuticals, a speciality drugmaker which acquired rights to Polyphenon E in January.