J.P. Morgan Comments On Vertex Collaboration

According to J.P. Morgan, Vertex Pharmaceuticals VRTX announced a WW collaboration with Alios Biopharma that would bolster its HCV pipeline by the addition of two nucleotide polymerase drugs (“nucs”; ALS-2200 and ALS-2158). J.P. Morgan said that these assets are very early stage (in preclinical development), but bringing in two nucs to Vertex's HCV portfolio is a strategic positive as it provides developmental flexibility for an all-oral, STAT-C combination in HCV down the road. “We are maintaining our Neutral rating given commercial risk for the Incivek launch in HCV and high expectations for the CF franchise.” Vertex Pharmaceuticals closed yesterday at $48.20.