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Spectrum Forecasts Big Revenue Jump, Shares Rise

Irvine drug maker Spectrum Pharmaceuticals Inc. said Tuesday it expects fourth-quarter revenue to come in at nearly twice as much as analysts had been expecting.

Spectrum’s shares closed up 8% Tuesday to a market value of $352 million.

The drug maker said its fourth-quarter revenue could come in at more than $33 million, compared to Wall Street’s expectation of $16.3 million.

Spectrum said the boost was helped by strong sales of its two cancer drugs, Zevalin and Fusilev.

The drug maker said it achieved its Zevalin sales target of $27 million to $29 million for 2010.

The drug maker’s fourth-quarter and 2010 results are due in mid-March.

The majority of Spectrum’s revenue comes from Fusilev.

Fusilev should grow if manufacturing issues persist for a generic from Teva Pharmaceuticals Industries Ltd., Ren Benjamin, an analyst with New York investment bank Rodman & Renshaw told Reuters.

Teva, an Israeli company with an Irvine operation, had faced plant contamination problems with generic leucovorin in recent years.

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