UPDATE: Morgan Stanley Reiterates On Celgene As EU Patents Risk May Be Underappreciated

In a report published Wednesday, Morgan Stanley analyst Matthew Harrison reiterated an Equal-Weight rating on

, but removed the $75.00 price target. In the report, Morgan Stanley noted, “Risks to EU patents may be underappreciated by consensus as Revlimid could go generic as early as 2022: There are three key groups of EU patents: (1) Composition (EP0925294) which expires 7/24/2017, but has supplementary protection (SPC) until 6/13/2022. The composition patents are not being challenged; (2) Methods for treating multiple myeloma (EP1505973) which expires 5/16/2023 and is being challenged by Synthon and an anonymous company; (3) Polymorph patent (EP1667682) which expires 9/3/2024 and is being challenged by Mylan and Teva. If generics succeed, Revlimid could go generic by June 2022.” Celgene closed on Tuesday at $86.78.