Omeros Corp. (OMER) climbed the most in almost four years after an analyst raised an estimate for potential use of the company’s drug used during eye surgeries.
Omeros rose 55 percent to $7.89 at 11:58 a.m., after gaining as much as 64 percent in the largest intraday increase since October 2009. The Seattle-based company fell 47 percent in the 12 months before today.
The medicine, OMS302 is being developed for use during ophthalmological procedures, including cataract surgery. The Food and Drug Administration is cracking down on the sterility of topical solutions used during intraocular lens replacement surgery and OMS302 would be the only product combining pain relief and pupil dilation that meet new requirements, Liana Moussatos, an analyst with Wedbush Securities in Los Angeles, wrote in a note today to clients.
The prediction that “doubled our penetration estimate” was based on “a conversation with a leading, high-volume cataract surgeon,” said Moussatos, who recommends Omeros stock.
The FDA may decide whether to approve OMS302 by the middle of next year.
The FDA is no longer allowing “homebrews” of the topical solutions used in eye surgery after pharmacies that make their own drugs recently encountered sterility issues. The agency also requires each patient receive a separate bottle of topical agents rather than surgeons using one bottle throughout a day of surgery as was typical practice, Moussatos said.
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