Vivus Inc. (NASDAQ:VVUS) (Closed: $13.21, Up by 9.72%) has finally made its mind to explore ways to increase the sales of its obesity drug, Qsymia. The company is now in discussions with large pharmaceutical companies to explore new and innovative ways to improve the reach of obesity drug to more number of consumers.
Unrest Of Shareholders
This move of Vivus Inc. (NASDAQ:VVUS) is the result of increasing unrest of shareholders due to highly pessimistic efforts of the pharma major in marketing its obesity drug. The shareholders were calling in for better efforts to partner with large pharmaceutical companies to increase the sales of Qsymia, obesity drug. The largest stockholder of the company, First Manhattan Co. had filed a proxy statement on May 01, 2013, demanding the replacement of six directors on board. This move by the longstanding shareholder expresses the level of shareholder activism prevailing around the company.
Marketing Efforts For Qsymia
Despite the unrest of such renowned shareholders, Vivus Inc. (NASDAQ:VVUS) did not put in any serious efforts to market its novel product. Though the obesity drug, Qsymia was the second drug of such kind to be approved by Food and Drug Administration after 1999, the marketing efforts were very poor that the drug reached only handful consumers. Highly dissatisfied with such poor efforts, the third largest shareholder of the company advocated the sale of Vivus Inc. (NASDAQ:VVUS) .The shareholder activism grew on the base that board of Vivus Inc. (NASDAQ:VVUS) repeatedly failed to arrange for a successive launch of the FDA approved obesity drug.
The reports on new efforts by Vivus Inc. (NASDAQ:VVUS) to increase the sales of Qsymia viewed a surge in the share prices by 9.7 percent to $13.21. The stock declined by about 50 percent since Qsymia was approved by FDA.