Oppenheimer Reiterates Outperform Rating, $2 PT on Zalicus Following 4Q12 Results

In a report published Wednesday, Oppenheimer reiterated its Outperform rating and $2.00 price target on Zalicus

. Oppenheimer noted, “Zalicus reported 4Q12 results. Investors remain focused on the two ongoing Z160 Phase IIa proof-of-concept studies in chronic neuropathic pain. Zalicus now expects to report top-line data from these studies by late-2H13. As a reminder, the two Phase IIa studies include Lumbosacral Radiculopathy (LSR) and Postherpetic Neuralgia (PHN). Zalicus stated that it will continue the clinical development of Z944 in 2013. A key US patent was issued in February 2013 that provides coverage through April 2029. We believe that, with total cash of $36.4M at YE12, Zalicus is capitalized past data readout of its two Z160 Phase IIa studies and into 2014. We maintain our Outperform rating and $2/share PT on ZLCS.” Zalicus closed on Tuesday at $0.64.