In recent times, a group of companies have come into sharp focus in the markets as potential coronavirus plays and one of the notable ones is Innovation Pharmaceuticals Inc (OTCMKTS:IPIX) stock. On Monday, the Innovation stock rallied strongly and gained as much as 12% after the company’s COVID 19 medicine got a major boost from the United States Food and Drug Administration.
The Announcement
The biopharmaceutical company announced on Monday that the FDA provided it with written feedback regarding Brilacidin, Innovation’s COVID 19 medicine. In the said feedback, the agency stated that it is in agreement with regards to Innovation’s plans of conducting a clinical trial for Brilacidin.
It is a significant development for the company since the feedback from the FDA marks the end of the Pre-IND (Investigational New Drug) procedure.
Now that the feedback has been received, Innovation is now going to use it in order to complete the trial protocol for Phase 2. In Phase 2 clinical trial, the company is going to ascertain the efficacy and safety of Brilacidin in COVID 19 patients.
The company aims to enroll a total of 120 patients for the trial and Contract Research Organizations have been engaged in order to speed up the enrolment process. Innovation has stated that the Phase 2 trial is expected to begin at some point in Q4 2020.
The Prospects
The update from the company was positive and that was further reinforced by the reaction from investors yesterday. Now, it remains to be seen if the Innovation stock can continue to add to its gains this week.
As far as prospects of Brilacidin are concerned, investors need to keep in mind that Innovation is currently conduction large-scale preclinical research into the product. More importantly, the research is nearing its end and has been conducted by independent laboratories.
The research is involved in figuring out the potential of Brilacidin in tackling the COVID 19 virus. In this regard, it is also interesting to note that plenty of healthcare institutions and hospitals in the United States and overseas have expressed interest in taking part in the clinical trial.
The widespread interest in the product also suggests that Innovation would not find it difficult to enroll the necessary number of patients for its Phase 2 trial. Considering the current situation with the stock, it could be worthwhile for investors to keep an eye on Innovation and keep it on their watch lists.
Neither PSN nor its owners, members, officers, directors, partners, consultants, nor anyone involved in the publication of this website, is a registered investment adviser or broker-dealer or associated person with a registered investment adviser or broker-dealer and none of the foregoing make any recommendation that the purchase or sale of securities of any company profiled in the PSN website is suitable or advisable for any person or that an investment or transaction in such securities will be profitable. The information contained in the PSN website is not intended to be, and shall not constitute, an offer to sell nor the solicitation of any offer to buy any security. The information presented in the PSN website is provided for informational purposes only and is not to be treated as advice or a recommendation to make any specific investment. Please consult with an independent investment adviser and qualified investment professional before making an investment decision.