| Press Release Source:
Callisto Pharmaceuticals, Inc.
Beacon Equity Research
Initiates Coverage of Callisto Pharmaceuticals Projecting 12-Month Share
Price Value to Reach $3.10
Tuesday October 4, 4:01
pm ET
Growth Attributed to
Promising R&D Programs to Treat Relapsed Cancers, Ulcerative Colitis
and Biowarfare Threats
NEW YORK--(BUSINESS WIRE)--Oct.
4, 2005--Callisto Pharmaceuticals, Inc. (AMEX:KAL - News; FWB:CA4), a developer
of novel drug therapies in the fight against hematologic cancers and other
diseases and conditions, today announced that investment analyst Beacon
Equity Research has initiated paid research coverage of the Company with
an extensive report that projects a 12-month target share price of $3.10,
a significant gain over the Company's recent share price of $1.38.
Beacon cites a number
of investment highlights about Callisto's business and financial prospects,
including:
*
Multiple, diverse drugs in the development portfolio -- reducing Callisto's
dependence on any single product or sector for market success;
*
Two key drug candidates already have FDA "Orphan Drug Status" advantages
-- offering strong protection against competition for up to seven years
following their respective market launch;
*
Anti-cancer focus is on treating relapsed or refractory "third line of
defense" cases, where other treatments have failed -- representing a smart
"market entry strategy" that further lowers threats of competition;
*
Superantigen research could produce market successes within the increasingly
lucrative, burgeoning Homeland Security marketplace
The Beacon report describes
Callisto in part as "an emerging bio-technology Company with a clear vision
to develop drugs to treat various types of cancers -- leukemia, multiple
myeloma and osteolytic bone disease." These drug treatments include one
for relapsed or refractory acute leukemia, called Annamycin, and another
to treat relapsed or refractory multiple myeloma and bone resorption, called
Atiprimod.
"Callisto Pharmaceuticals
(AMEX:KAL - News) presents an interesting story and has fundamentals normally
not found in other small, development-stage pharmaceutical firms," Beacon
wrote in its report. "Investors should note that it is quite diversified
for an emerging firm with multiple drugs currently under development."
Callisto CEO and CSO
Dr. Gary S. Jacob was very pleased to see the strong validation of the
Company's mission and business model in the Beacon analysis.
"This report will be
of great assistance in our efforts to communicate to investors and others
the inherent importance of our pharmaceutical mission and the potential
of our various product innovations in the global marketplace," Dr. Jacob
said. "Callisto has commissioned this research report, although we believe
it to be an objective, balanced and comprehensive analysis of our current
assets and our future prospects. We are gratified by the exhaustive research
reflected in this thorough and thoughtful analysis. It is essential to
stress, however, that the conclusions are those of Beacon only, and do
not necessarily reflect the expectations or internal projections of Callisto
Pharmaceuticals."
The report added: "Callisto's
portfolio contains two anti-cancer drug candidates, Atiprimod and Annamycin,"
according to the report. "These may one day prove to treat some of the
worst forms of cancer in patients who have stopped responding to other
treatments. These innovative drugs may one day have a major impact on the
cancer treatment market in general, not to mention the patients who have
lost hope who may be able to continue their battles with these powerful
treatments."
In other development
programs, Callisto is working to develop monoclonal antibodies and peptides
that can prevent unregulated activation of T-cells by a wide range of bacterial
toxins, or superantigens. Callisto is exploring the development of a monoclonal
antibody as a therapeutic agent to treat civilians and military personnel
exposed to superantigen-mediated bioweapons.
In addition, Callisto
is also dedicated to developing a treatment for ulcerative colitis, a serious
disease that can cause ulcers and irritation in the inner lining of the
colon and rectum. "There are 500,000 people suffering with Ulcerative Colitis
in the United States with a market value of about $800 million," notes
the report.
Callisto has compensated
Beacon to conduct a credible, comprehensive and objective third party research
report, and the resulting analysis and assessment is Beacon's own independent
work product. Callisto did not participate in the creation of the conclusions
in the report, nor its price growth projections. The report, produced under
compensation terms described below, can be found at http://www.beaconequityresearch.com/.
About Beacon Equity Research
Beacon Equity Research
is committed to producing the highest-quality investment research, and
helping investors make informed decisions. Our focus is primarily on the
underserved small cap market, which has traditionally been shunned by Wall
Street. We have no investment banking or consulting relationships with
the companies we cover, removing an inherent conflict of interest typically
found in most research firms. The companies we feature have agreed to enroll
in our research program for a set period and have also agreed to pay an
upfront fee to defray the costs of research, publishing and distribution.
Our analysis and conclusions are therefore made independently from outside
pressures. We seek to explore every pertinent aspect of a company's business
and make investors fully aware of the potential risks and rewards involved
with the company's stock. All of our reports are co-authored and approved
by a Chartered Financial Analyst (CFA), one of the most prestigious designations
in the securities industry. As a CFA holder, our analysts are bound by
the AIMR code of ethics.
About Callisto Pharmaceuticals,
Inc.
Callisto is a biopharmaceutical
company committed to developing innovative anti-cancer drugs to treat blood
cancers and related diseases, including acute lymphoblastic leukemia (ALL),
acute myelogenous leukemia (AML), relapsed or refractory multiple myeloma,
and osteolytic disease. Callisto also has drugs in preclinical development
for gastrointestinal inflammation, as well as for protection against the
potential bio-warfare agents, staphylococcus and streptococcus. Callisto's
two lead anti-cancer products include Annamycin, a novel liposomal drug
from the anthracycline family with potentially reduced cardiotoxicity,
a patented liposomal formulation, and the potential to circumvent multi-drug
resistance in both ALL and AML; and Atiprimod, a small-molecule oral drug
with a potential multiplicity of effects, including tumor cell anti-proliferative
and anti-angiogenic activities to treat relapsed multiple myeloma (MM).
Atiprimod is presently in a Phase I/IIa clinical trial in relapsed or refractory
MM patients at four clinical sites in the U.S. In addition to cancer treatments,
Callisto is developing a drug pre-clinically for treatment of inflammatory
bowel disease (IBD). Callisto also has received a major biodefense partnership
grant from the National Institute of Allergy and Infectious Diseases (NIAID)
to develop a monoclonal antibody and vaccine against bacterial superantigen
toxins. Bacterial superantigens are among the most lethal of toxins that
can potentially be used as bioweapons. For investor-specific information
about Callisto, including recent news and stock price data, please visit
http://www.trilogy-capital.com/tcp/callisto/. For an Investor Fact Sheet
about Callisto, please visit http://www.trilogy-capital.com/tcp/callisto/factsheet.html.
Callisto is also listed on the Frankfurt Stock Exchange under the ticker
symbol CA4. For additional information, visit www.callistopharma.com.
Compensation Disclosures
Beacon Equity Research
(otherwise known as BER) is an independent research firm specializing in
small and micro capitalization companies. BER has no investment banking
or consultation conflicts thereby minimizing the inherent conflicts of
interest between the research analysts and the companies they cover. BER
is not a registered investment advisor or broker dealer. No information
in this report should be construed as an endorsement to either buy or sell
any securities mentioned in this report. The analyst(s) who prepared this
report rely on publicly available information which neither the analyst,
nor BER, can guarantee to be error free or factually accurate. All conclusions
in this report are deemed reasonable and appropriate by the author. Beacon
Equity Research has been compensated sixteen-thousand five-hundred dollars
by Callisto Pharmaceuticals for a one year enrollment in its research program.
All decisions are made solely by the analyst and independent of outside
parties or influence. The Private Securities Litigation Reform Act of 1995
provides investors a "safe harbor" in regard to forward-looking statements.
To fully comply with the requirements of this law, BER cautions all investors
that such forward-looking statements in this report are not guarantees
of future performance. Unknown risk, uncertainties, as well as other uncontrollable
or unknown factors may cause actual results to materially differ from the
results, performance or expectations expressed or implied by such forward-looking
statements. Investors should exercise good judgment and perform adequate
due-diligence prior to making any investment. In accordance with the "Standards
for Independent Research Providers" issued by the FIRST Research Consortium,
BER makes the following assertions: ratings and price targets in this report
should not be construed as recommendations or stock price predictors. Conflicts
are inimical to credible professional research; however, the analysts responsible
for this report publicly state that they do not own a stake in any of the
companies covered in this report. Neither they nor principals of this research
provider are permitted to trade any form of equities of companies being
covered prior to research being initiated.
Forward-Looking Statements
Certain statements made
in this press release are forward-looking. Such statements are indicated
by words such as "expect," "should," "anticipate" and similar words indicating
uncertainty in facts and figures. Although Callisto believes that the expectations
reflected in such forward-looking statements are reasonable, it can give
no assurance that such expectations reflected in such forward-looking statements
will prove to be correct. As discussed in the Callisto Pharmaceuticals
Annual Report on Form 10-K/A for the year ended December 31, 2004, and
other periodic reports, as filed with the Securities and Exchange Commission,
actual results could differ materially from those projected in the forward-looking
statements as a result of the following factors, among others: uncertainties
associated with product development, the risk that products that appeared
promising in early clinical trials do not demonstrate efficacy in larger-scale
clinical trials, the risk that Callisto will not obtain approval to market
its products, the risks associated with dependence upon key personnel and
the need for additional financing.
Contact:
Callisto Pharmaceuticals, Inc.
Dan D'Agostino, 212-297-0010 x227
dagostino@callistopharma.com
or
Investor Relations Contact:
Trilogy Capital Partners, Inc.
Paul Karon, 800-592-6067
paul@trilogy-capital.com
Source: Callisto Pharmaceuticals,
Inc. |
