Collagen Corp. told analysts and institutional investors at ameeting in New York on Monday that the Food and DrugAdministration will review the company's pre-marketapplication for its Collagraft implant on Aug. 16.
Howard D. Palefsky, president and chief executive officer, alsosaid the company is comfortable with earnings estimates of 5cents to 8 cents a share for the 1991 fourth quarter endedJune 30.
The Palo Alto, Calif.-based company's stock fell two weeks agowhen Hambrecht & Quist analyst Kurt Kruger lowered hisearnings estimates. Palefsky on Monday said a weakenedmarket for cosmetic implants of collagen could have resultedfrom negative publicity about the safety of collageninjections.
Palefsky said that international sales of collagen implantproducts remain strong. Collagen expects European collagen-implant sales for fiscal 1991 to exceed fiscal 1990 sales byabout 50 percent.
Collagraft, a composite of collagen and bone mineral purifiedfrom cows, will be sold by Bristol-Myers Squibb to treat bonedefects and repair fresh bone fractures as an alternative totaking a patient's own tissue for grafting. The companyestimates that at least 200,000 U.S. patients annually receivebone grafts.
The company also said it will submit follow-up data to theFDA "within a couple of weeks" on its Contigen Bard CollagenImplant for urinary stress incontinence.
Collagen stock (NASDAQ:CGEN) closed down $1 on Monday at$19.75.
-- Roberta Friedman,Ph.D. Special to BioWorld
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