ImmuPharma Plc (LON: IMM) is a United Kingdom domiciled clinical stage therapeutics and Biotechnology company that has interests in the Research and development of novel therapeutics compounds as well as manufacturing of various drugs based on these compounds which are of immense value in the treatment of several critical life threatening ailments. Headquartered in London the company also licences out its new and innovative therapies for critical diseases which are showcased as novel and featured by the company to serve the high unmet medical demand and also has low development and marketing costs. The company draws heavily from the Centre National de la Recherche Scientifique (National Centre for Scientific Research) (CNRS) for their dynamic research in the field of new compound discovery. In its portfolio the company, currently has only one drug called Lupuzor™ useful for the treatment of Lupus and is in its late-stage clinical trial, with other potential applications for Auto-immune diseases, Oncology and Ophthalmology, as well as secondary applications for Metabolism and Diabetes.
The shares of the company are listed for trading on the London Stock Exchange. There they trade with the ticker name IMM in the Alternative Investment Market (AIM) segment. The shares of the company are also constituents of the FTSE AIM Allshare index.
Lupuzor™ (also referred to as Forigerimod, or P140) is the company’s lead therapeutic compound and a suitable treatment for Lupus disease (or Systemic Lupus Erythematosus), a chronic, potentially life-threatening auto-immune ailment. Lupuzor™ has a novel way of working which aims at modulating the human immune system so that it does not attack healthy cells and avoids causing adverse side effects. The compound, in trials, has demonstrated to have stopped the progression of the disease in a substantial proportion of patients who took part in the trials.
The drug originally licenced from National de la Recherche Scientifique (National Centre for Scientific Research) (CNRS) of France has now been further licenced to Avion Pharmaceuticals LLC of the United States for further development, manufacture and commercialisation in the United States of America. Underpinned on the agreement, the company is hopeful of establishing a presence in the United States of America as the licensing and development agreement enables Avion with the exclusive rights to sell Lupuzor™ in the United States of America. The company also highlighted that the two companies will develop the drug Lupuzor™ together for the purposes of registration of marketing in the United States, European region and other places in the world. The company has also made a key highlighting point in the fact that Avion has the sole right to leverage appropriate trademarks for the development, production as well as marketing of the products.
The compound Forigerimod, or P140, though now only useful for the treatment of Lupus, has immense potential and with further research and development efforts can lead to discovery of drugs with potential for therapeutic applications in Oncology, Ophthalmology and other Auto-immune diseases. All the three above mentioned disease types have an extensive market with immense revenue potential and any effective product development in these fields that could serve these markets will be extremely rewarding for the company.
Stock Performance at the London Stock Exchange
Source – Thomson Reuters
At the time of writing of this report on 12 December 2019 the shares of the company were trading on the London Stock Exchange for GBX 17.80.
The shares of the company during the past 52 weeks trading at the London Stock Exchange have registered a 52-week high of GBX 34.00 while also registering a 52-week low of GBX 6.91. The company has a market capitalisation of £30.96 million on the London Stock Exchange at the time of writing of this report on 12 December 2019
The stock’s average volume (before the market close, at the time of writing, on 12 December 2019) stood at 946,496. Stock's average traded volume for 5 days was 2,453,909.20; 30 days- 2,843,928.13 and 90 days – 1,213,903.23. The company’s stock beta was 0.10, reflecting lower volatility as compared to the benchmark index. The average traded volume for five days was up by -13.71 per cent as compared to the 30 days average traded volume. In last one month, the shares have generated a positive return of +146.67 per cent and +57.45 per cent return on year-to-date basis
The company understands that the potential of the compound Forigerimod, or P140. Lupuzor™ is just the first of the company’s commercial outcomes, which is why it is licencing to Avion Pharmaceuticals LLC of the United States to cater to the world’s largest market for such therapeutics. The agreement between the two companies not only provides for milestone-based royalty revenue but also cost and benefit sharing with Avion Pharmaceuticals LLC, which has agreed to be part of further research and development efforts on the compound. The successful first round clinical trials of this compound in the Unites states and the absence of any major side-effects in patients during long periods of administration and observation of the drug increases the hopes of it landing an FDA approval soon. Once that happens the fortunes of the company will turn around dramatically.
This, however, is only the tip of the iceberg. Therapeutics with applications in Auto-immune diseases are always strong candidates for further development into potent oncology medications. The field of oncology is a prominent field in medicine which is large in size and complexity with immense revenue potential; the characteristics exhibited by the compound in clinical trials for the treatment of Lupus demonstrates its potential for further development. The company understands this and is making all possible efforts to fund further research on this compound.
The compound in its current state development has already demonstrated to be a massive value creator to the company while not taking further potential for development of the compound under consideration. The company will also witness a substantial growth in its business once this therapeutic starts to get available outside of United States in other large markets of continental Asia, Europe and Africa.
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