ORLANDO, Fla., Oct. 3, 2007 (PRIME NEWSWIRE) -- RedChip Visibility, a division of RedChip Companies, Inc., announced that it has issued an Osteologix, Inc. (OTCBB:OLGX) second quarter 2007 research update.
Tony Telan, MBA, RedChip Research Analyst, wrote in the report:
"On September 19, 2007, OLGX presented findings from its earlier Phase 1 clinical study on NB S101 to an international audience of physicians. OLGX reported that its lead osteoporosis drug NB S101 (strontium malonate) has greater strontium bioavailability than a similar drug (strontium ranelate) approved for sale in Europe. OLGX's innovative new drug may offer a safer, convenient, and more effective treatment of osteoporosis than other drugs approved in the United States and in Europe. OLGX's studies revealed that a single one gram dose of NB S101 was bioequivalent to 2 grams of Protelos (strontium ranelate) in increasing strontium levels. It is proven that increased strontium levels help to prevent fractures. In addition, the proprietary formulation of NB S101 provides for greater bioavailability than the comparable strontium formulation of strontium ranelate.
"We are assigning a 'Speculative Buy' rating on OLGX shares with a one-year price target of $3.88. We rated these shares speculative because we acknowledge that there are inherent risks and uncertainties involved in this investment. OLGX is at least six years away from producing revenues if it sells the product on its own. Our target price is based on the present value of the estimated future share price of $7.56 and a 10 percent discount factor. We expect OLGX to begin product sales in 2014. Our model assumes that NB S101 will capture 2% of the worldwide osteoporosis market in 2014. This translates to approximately $280 million in sales in 2014 based on a projected $14 billion market."
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http://www.redchip.com/visibility/about.asp?page=requestOLGX_Q2_2007
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Research Disclosure
The analysts contributing to this report do not hold any shares of OLGX. Additionally, the analysts contributing to this report certify that the views expressed herein accurately reflect the analysts' personal views as to the subject securities and issuers. RedChip certifies that no part of the analysts' compensation was, is, or will be, directly or indirectly, related to the specific recommendation or views expressed by the analyst in the report. Additional information on the securities mentioned in this report is available upon request. This report is based on data obtained from sources we believe to be reliable, but is not guaranteed as to accuracy and does not purport to be complete. As such, the report should not be construed as advice designed to meet the particular investment needs of any investor. Any opinions expressed herein are subject to change. Osteologix, Inc. is a client of RedChip Visibility, a division of RedChip Companies. OLGX paid RedChip Visibility $32,400 for the RedChip Visibility Research Program, which includes this report.