Is This Obesity-Drug Maker in Trouble?

Updated

With Arena Pharmaceuticals and Eisai still waiting for their obesity drug Belviq to complete DEA scheduling, it was their chief rival VIVUS that made news today. All eyes were on VIVUS' decision to take out a loan that could amount to $110 million.

But why is this necessary at all? Does the company need more capital to enhance its marketing strategy for the obesity drug Qsymia, or is this a signal that VIVUS is currently in a difficult financial situation? Health-care analyst Max Macaluso sheds light on this news in the following video.

Is now the time to sell VIVUS?
VIVUS' shares were clobbered after Qsymia's dismal launch. Investors everywhere are wondering whether the tide will turn for this fledgling drugmaker or if now is the perfect time to sell. In a new premium research report, the Fool's top health-care contributor breaks down this complex story and explains the details VIVUS investors must know -- including reasons to buy and sell. To find out more about this premium report click here now.


The article Is This Obesity-Drug Maker in Trouble? originally appeared on Fool.com.

Max Macaluso, Ph.D., and The Motley Fool have no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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