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Thursday, April 18, 2019

Walgreens adds e-commerce package pickup, return service to >8,000 stores

Walgreens Boots Alliance Inc. has partnered with Narvar to add package pick-up and return services to more than 8,000 of its pharmacy locations.
The stores, which are part of the Narvar Concierge network, will offer FedEx OnSite services FDX, +0.44%  . Narvar works with retailers and brands to improve customer experience.
“Customers are continuing to redefine value and convenience, and this is another way in which we can provide a differentiated retail experience, by offering more simple and time-saving solutions, said Alex Gourlay, president of Walgreens, in a statement.
Walgreens WBA, -0.42%   stock has lost 19.3% in 2019 while the S&P 500 indexSPX, +0.17%   has gained 15.7% for the period.
The Narvar Concierge network extends to Nordstrom Inc. JWN, +0.05%  , where there is a pilot of pick-up and drop-off service in Los Angeles. Other brands using the service include Urban Outfitters Inc. URBN, +0.23%  , Levi Strauss & Co.LEVI, +1.49%   and Cole Haan.

Increased e-commerce activity is driving up the number of returns and the costs associated with them. Thirty-seven percent of U.S. shoppers make a purchase with intent to return, according to data from inRiver, a product information management platform. That figure goes up to 57% among 16-to-24-year-olds.
“Online shoppers don’t like returning by mail,” said David Sobie, chief executive of Happy Returns. Sobie talked with MarketWatch about the foot traffic that in-store returns create during the recent Shoptalk conference.
Happy Returns, which works with retailers including Sur La Table and mall operators including Simon, launched self-service return kiosks during the conference. The company also provides manned Return Bars at participating retailers and expects to have 1,000 in place around the country by year-end.
“Returns are always going to be part of online shopping,” said Sobie. “I don’t see an end to returns anytime soon. It’s part of the shift to e-commerce.”

Teva gains ground on Amgen in latest migraine survey, says Piper Jaffray

Following of survey of 99 neurologists done by his firm’s partner Spherix Global Insights, Piper Jaffray analyst Christopher Raymond maintains an Overweight rating on Amgen (AMGN) and a Neutral rating on Teva Pharmaceutical (TEVA). The migraine survey indicates Eli Lilly’s (LLY) Emgality is lagging and that Teva’s Ajovy appears to be gaining ground on Amgen’s Aimovig across numerous metrics, Raymond tells investors in a research note. While one data point does not a trend make, this move warrants close attention, especially given the increased significance assigned to Aimovig with respect to Amgen sentiment, says the analyst. Raymond, however, remains cautious on Teva shares given the” lack of clarity regarding when/where EBITDA will hit a trough.” On the R&D side, the analyst notes that Overweight-rated Alder Biopharmaceuticals’ (ALDR) eptinezumab “appears to be particularly top-of-mind among migraine specialists.”

Piper sees ‘positive tailwinds’ for Medidata, Iqvia from Cures Act

After speaking with Jen Goldsack, co-founder of the Digital Medicine Society, manager of strategic partnerships at monARC Bionetworks, and formerly project lead at the Clinical Trials Transformation Institute, Piper Jaffray analyst Sean Wieland believes the 21st Century Cures Act is driving demand for innovative solutions to improve efficiencies in clinical trials, specifically in the areas of real world evidence and synthetic control arms. This should amount to “positive tailwinds” for Medidata Solutions (MDSO) and Iqvia (IQV), Wieland tells investors in a research note.

Tonix Pharmaceuticals upgraded to Buy at Roth Capital

Roth Capital analyst Scott Henry upgraded Tonix Pharmaceuticals to Buy from Neutral given that the company is attempting its third shot at the PTSD indication with the RECOVERY trial, enrollment adjustments give the trial a “reasonable shot at success,” the cash runway could get the company to the key PTSD data readout in the first half of 2020, and the stock looks interesting using only a about 20% chance at approval. The analyst also raised his price target on the shares to $4 from 75c.

Wednesday, April 17, 2019

UnitedHealth: DaVita Medical Deal ‘Progressing’ On Path To Close

UnitedHealth Group’s effort to acquire DaVita Medical Group has dragged on longer than expected for an acquisitive healthcare company known for closing transactions on time and with little regulatory hassle.
But there appears to be little concern from UnitedHealth executives who provided an update Tuesday on the $4.3 billion acquisition during an 80-minute call to discuss first quarter earnings with Wall Street analysts.
“We are progressing toward the close of the DaVita Medical Group transaction and we look forward to adding more markets, more doctors, and clinical staff serving more patients,” UnitedHealth CEO David Wichmann told analysts.
The acquisition of DaVita, first announced in December of 2017, has yet to close even after UnitedHealth and DaVita amended their original purchase agreement to lower the price of the large operator of clinics and doctor practices to help win approval of the deal from the Federal Trade Commission.
The transaction was originally expected to close in 2018, but that changed after the acquisition price fell by about $600 million from $4.9 billion.  And in a regulatory filing last year, DaVita said it expected to close the transaction “in the first quarter of 2019.”
Once it closes, UnitedHealth’s Optum medical care provider business will gain a large network of nearly 300 medical clinics that treat more than 1.7 million patients annually, the companies have said.
“It is a critical part of the strategy that we have around reinventing health care delivery to access more markets and at the same time then go much deeper into those markets to make them work much more effectively,” Wichmann said. “At this stage, we have a clear path to approval in closing of the transaction, but unfortunately, we cannot comment on further details or timing at this stage. We are working through a couple of matters that remain.”
The deal is among a growing number of transactions sweeping the healthcare industry to put providers of medical care under the same umbrella as health insurance companies. Pharmacy giant CVS Health last year bought Aetna, the nation’s third-largest health insurer, insurer Humana has been signing deals with multiple providers including drugstore giant Walgreens Boots Alliance, and big Blue Cross and Blue Shield plans are investing in primary care providers.
DaVita Medical Group is a subsidiary of DaVita Inc., which is a large provider of kidney care and dialysis services across the U.S. UnitedHealth is not acquiring the kidney care centers. The DaVita operations sold to Optum include urgent care centers, surgery centers and medical clinics with primary care doctors and specialists in California, Colorado, Florida, Nevada, New Mexico and Washington State.
The addition of the DaVita operations would add to an already growing national network of medical care providers under the Optum umbrella, executives have said.
“OptumCare’s vision for care is to create a leading value-based patient centric physician health care system in the United States and we will do this through local markets,” Dr. Wyatt Decker, CEO of OptumHealth, who joined the company earlier this year from the Mayo Clinic, told analysts Tuesday.
We’re already in 36 markets,” Decker added. “And if you include our MedExpress and ambulatory surgical centers, it would be 60 markets. We have 38,000 employed in affiliate physicians, and this will continue to grow organically as well as inorganically.”

Blank check Health Sciences Acquisitions files for a $100 million IPO

Health Sciences Acquisitions, a blank check company targeting the biopharma and medical technology sectors, filed on Tuesday with the SEC to raise up to $100 million in an initial public offering.
The New York, NY-based company plans to raise $100 million by offering 10 million units at a price of $10. At $10, Health Sciences Acquisitions would command a market value of $125 million. The units consist of one share of common stock and one warrant to purchase half a share of common stock at $11.50 per whole share.
Health Sciences Acquisitions was founded in 2018 and plans to list on the Nasdaq under the symbol HSACU. Chardan Capital Markets and UBS Investment Bank are the joint bookrunners on the deal.

Anti-vaxxer organization sues NYC over mandatory measles vaccination

An anti-vaxxer organization representing the parents of five unvaccinated children in Williamsburg filed a lawsuit against the city on Monday, asking a judge to vacate a mandate put out last week requiring mandatory measles vaccinations for residents in certain Brooklyn ZIP codes.
Robert Krakow, Robert F. Kennedy Jr. and Patricia Finn of Children’s Health Defense filed the litigation against the New York City Department of Health and Human Hygiene. It calls for a temporary restraining order, labeling the mandate “capricious, contrary to law” and exceeding “lawful authority.”
On April 9, New York City declared a public health emergency, ordering mandatory measles-mumps-rubella vaccinations for residents in parts of Williamsburg as the number of confirmed cases for the infection rose to 285 since Sept. 30.
Mayor Bill de Blasio said individuals and parents who ignored the order would be fined up to $1,000 and be questioned by “disease detectives.” The outbreak is primarily affecting the Orthodox Jewish community.
“Rather than using available legal mechanisms such as isolation or quarantine under Public Health Law §2100,” the lawsuit reads, “respondents have imposed not only severe criminal and civil penalties for not vaccinating but have stated that persons not vaccinated ‘shall be vaccinated against measles,’ thus introducing the specter of unjustifiable forced vaccination to Williamsburg and the City of New York.”
As part of the declaration, every unvaccinated person living in the ZIP codes 11205, 11206, 11211 and 11249 — regardless of whether they have been exposed to the infection — are required to get vaccinated to stymie the outbreak.
“Our goal is not to fine people or shut down schools,” de Blasio said last week. “Our goal is to vaccinate people. We have the tools available now because of this emergency order to fine — and fine very substantially. But if people just go and get vaccinated, there is no need for a fine.”
“If people ignore our order,” he added, “We will issue fines.”
Immediately after de Blasio declared the public health emergency, Gov. Andrew Cuomo questioned the legality of the order.
The Children’s Health Defense website has produced literature discussing the “dangers” of vaccinations, claiming there are high levels of mercury and a risk of autism.
“The measles scare was classic disaster capitalism, with media outlets dutifully stoking public hysteria on editorial pages and throughout the 24-hour broadcast cycle,” the webpage reads.
“With Dr. [Paul] Offit leading the charge, [Centers for Disease Control and Prevention], drug makers, and industry-funded front groups parlayed a garden-variety annual measles outbreak into a national tidal wave of state legislation to ban religious and philosophical vaccine exemptions.”
But Dr. Alan Kadish, a physician and president of the Touro College & University System, the largest institution of higher education under Jewish auspices in the U.S., says the website’s claims are absolutely false.
“The CDC has studied mercury in vaccines extensively,” he told the Brooklyn Eagle. “There is no credible evidence of harm in the current vaccines.”
The Children’s Health Defense also claims that the measles vaccines cause autism in children.
“The national media frenzy over 159 measles cases left little room for attention to the autism cataclysm which has debilitated 1 million American children since the pandemic began in 1989, with 27,000 new cases annually,” the organization writes.
“In defiance of hard science, and common sense, CDC and Offit have launched a denial campaign to gull reporters into believing the autism plague is an illusion created by better diagnosis,” the webpage adds.
But Kadish firmly said that those claims are erroneous as well.
“The myth that measles vaccines are associated with autism has been thoroughly debunked by scientific research,” he said. “Measles is far more dangerous than many parents understand and has the potential to be fatal.”
“We in the Jewish community must unite to unmask this hoax once and for all,” Kadish added. “Not vaccinating children is reckless and potentially deadly. There is no justification medically, socially or religiously for not vaccinating.”
De Blasio, appearing on Inside City Hall on Monday, said that the city is aware of the anti-vaxxer group seeking to undermine the city’s public health emergency.
“There is a small, I think very — angry if you will — loud, anti-vaxxer group that keeps trying to convince parents not to have their kids vaccinated,” de Blasio said. “The anti-vaxxer movement grew in recent years, but it’s not based on science — and this is the danger we now see,” he added.
The lawsuit came on the same day that the city shut down the United Talmudical Academy in Williamsburg for refusing to hand over records showing whether it was excluding staff and students with measles.