Olema Pharmaceutical’s (NASDAQ:OLMA) announcement of a new clinical trial collaboration and supply agreement with Pfizer Inc. (PFE) in metastatic breast cancer may be a sign of a potential bidding war for Olema in the future, according to an Oppenheimer analyst.
“Alongside the palazestrant + ribociclib combination (i.e., OPERA-02) with Novartis, Olema now has two of the big three players in HR-postive breast cancer with a seat at the data table – which under ideal circumstances may set the scene for a future bidding war,” Oppenheimer analyst Matthew Biegler, who has an outperform rating and $22 price target on OLMA, wrote in a note on Wednesday. “We think that’s a real possibility of Roche’s PersevERA trial — expected any day — reads out positively.”
Olema (NASDAQ:OLMA) surged 19% on Tuesday in the wake of the Pfizer (PFE) news. Shares of Olema fell 3.1% on Wednesday.