Antibe Therapeutics’ Share Price Soars with Positive Phase 2B Results

Positive clinical trial results are indicative if a company can obtain regulatory approvals as well as determine if a company will be profitable—which may very well be the case for Antibe Therapeutics (TSXV:ATE)

On Tuesday (March 20), the company released positive Phase 2B clinical trial results for its lead drug, ATB-346. This study was to evaluate the safety of the investigational drug, which is indicated for acute and chronic pain.

“The successful outcome of this study is the culmination of 15+ years of scientific research, and validates Antibe’s hydrogen sulfide-releasing technology,” John Wallace, Antibe’s chief scientific officer. “Gastrointestinal safety has been a major global concern with [nonsteroidal anti-inflammatory drugs (NSAIDs)] for decades and we now have clinical data unequivocally demonstrating a solution to this unmet and serious medical problem.”

The outcome of the study showed the amount of ulcers in patients taking ATB-346 was 2.5 percent compared to 42.2 percent from the patients in the other group taking naproxen.

Naproxen is currently the most prescribed nonsteroidal anti-inflammatory drug NSAIDs and the most commonly used therapy for osteoarthritis, but also associated with a high amount of gastrointestinal ulceration and bleeding the press release said. ATB-346 is a derivative of naproxen, but as the study has shown it may not have the same ulceration effects as the competitor.

The press release detailed a summary of the clinical trial results with secondary endpoints will be available for released in Q2 of this year.

“Antibe will continue its regional licensing discussions and will now engage global pharmaceutical firms to support our objective of reaching a partnering event for the major markets.” Dan Legault, the company’s CEO said.

Legault said he also expects the company to release data from the placebo-controlled dose ranging and effectiveness study in Q4 of 2018. Development for other novel NSAIDs will be also be accelerated, including ATB-352 which is a non-addictive analgesic to treat severe pain and address the global opioid crisis.

In addition to the above, Antibe is also developing several safer medicines for pain and inflammation. The company is doing this through its technology of linking hydrogen sulfide-releasing molecules to an existing drug to produce a patented improved medicine. ATB-364, for example, is developed as a safer derivative of naproxen, and ATB-340 is meant to be a safer derivative of aspirin.

Investor Takeaway

Following the announcement, Antibe’s share price has increased 77.78 percent to $0.64 at market close on Tuesday. Year to date the share price has increased 111.76 percent.

Zacks analyst David Bautz released a report in the end of January giving the share a valuation of $0.85, and said from the results of the ATB-346 study, “will support a potential partnering opportunity with a larger pharmaceutical company in order to advance ATB-346 into a Phase 3 program.”

Investors interested in the company should continue to check the company’s news for future clinical trial results from the company’s pipeline, including Q2 for the entire Phase 2B ATB-346 study results.

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Securities Disclosure: I, Gabrielle Lakusta, hold no direct investment interest in any company mentioned in this article.