May 30, 2014 / 1:51 PM / 3 years ago

Retrophin shares soar on raised forecast after kidney drug deal

May 30 (Reuters) - Shares of Retrophin Inc jumped as much as 31 percent on Friday, a day after the drugmaker raised its full-year revenue forecast following a deal to market privately-held Mission Pharmacal Co’s kidney drug in the United States.

The stock was one of the top percentage gainers on the Nasdaq.

Retrophin said it planned to hike the price of the drug, Thiola, increase the number of available doses and develop an extended release version.

Thiola, currently sold for $4,000 a year per patient, will be priced closer to rival drug, Penicillamine, which costs $80,000 to $140,000, Chief Executive Martin Shkreli said on a conference call on Friday.

Retrophin raised its full-year revenue forecast on Thursday to $30 million-$35 million from $20 million-$22 million.

“I believe the guidance is conservative, and I look forward to updating it,” Shkreli said.

The company also lifted its 2015 revenue forecast to $60 million-$70 million from $36 million-$41 million.

Financial terms of the deal were not disclosed.

Thiola was approved in 1988 by the U.S. Food and Drug Administration for the treatment of cystinuria, an inherited condition that leads to the formation of stones in the kidney, ureter and bladder.

Thiola is the preferred therapy for the rare disease as it poses a lower risk of toxicity, Shkreli said.

Retrophin, which has hypertension drug Vecamyl and metabolism treatment Chenodal in the U.S. market, is developing a number of drugs for rare diseases including rage disorders, Duchenne muscular dystrophy and infantile spasms.

The New York-based company’s shares were up 17.6 percent at $15.15 on the Nasdaq. (Reporting by Natalie Grover in Bangalore; Editing by Kirti Pandey)

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