Hutchison China Meditech "buy"

07/02/07 - Panmure Gordon & Co

LONDON, July 2 (newratings.com) - Analyst Philip Dorgan of Panmure Gordon maintains his "buy" rating on Hutchison China Meditech (H7T). The target price is set to 300p.

In a research note published this morning, the analyst mentions that the company has announced positive results for the ulcerative colitis proof-of-concept Phase II clinical trials on HMPL-004. The results exhibit HMPL-004's few side effects and better symptom reduction ability than that of the current best drug available in the market, Mesalazine. The positive results are expected to act as a catalyst for Hutchison China Meditech’s share price, the analyst adds. Panmure Gordon expects the company to release positive results for the Phase II proof-of-concept tests for Crohn's disease in early-2008.