MARKET TALK: Ambrian Starts Drug Maker Vectura At Buy

1321 GMT [Dow Jones] Ambrian initiates coverage of Vectura Group (VEC.LN) with a buy rating and fair value of 98p. Analyst Chris Redhead says the drug maker is significantly undervalued. A program with Novartis (NOVN.VX) could bring the companies a significant share of the $9 billion-a-year market for medicines for chronic obstructive pulmonary disease, or smoker's lung, and a clear route to market exists in Europe for Vectura's generic version of GlaxoSmithKline (GSK.LN) asthma blockbuster even if it doesn't in the U.S., he says. It also has other products ready for partnering with a big drug maker, Redhead adds. Shares flat at 44p (jason.douglas@dowjones.com). Contact us in London. +44-20-7842-9464 Markettalk.eu@dowjones.com (END) Dow Jones Newswires August 02, 2010 09:21 ET (13:21 GMT)