In early trading on Wednesday, Daré’s share price increased nearly 73 percent before leveling at a 56.69-percent increase.
For companies in the life science sector, expanding products globally can be one of the most challenging — and expensive — methods of expanding international reach.
That is why expanding through licensing agreements with other companies is one of the most cost-effective and efficient methods to expand.
On Wednesday (April 25), Daré Bioscience (NASDAQ:DARE) announced in a joint press release that it has secured an exclusive licensing agreement with Juniper Pharmaceuticals’ (NASDAQ:JNP) for its intravaginal ring technology, including three preclinical candidates.
The new vaginal ring product allows for sustained drug delivery over a timeframe ranging between weeks and months. Compared with other vaginal rings, Juniper’s releases drugs without the need for a membrane or a reservoir to contain the active drug or control the release.
“We believe that the capabilities of the intravaginal ring platform will greatly expand our ability to identify and meet unmet needs in women’s sexual and reproductive health,” said Sabrina Martucci Johnson, Daré’s CEO, in the press release.
Juniper’s other products under development that Daré has acquired includes: JNP-0101, an oxybutynin ring to treat overactive bladder; JNP-0201, an estradiol and progesterone ring for hormone replacement therapy; and JNP-0301, a natural progesterone ring to prevent preterm birth.
This license agreement covers all rings in development and applications of the intravaginal ring technology platform in other therapeutic areas.
Daré has two products currently in clinical development, including its lead candidate, Ovaprene, a non-hormonal contraceptive intravaginal ring. The company is working on advancing innovative products for women’s reproductive health that address clear therapeutic gaps.
Juniper is developing therapeutics to address unmet or underserved women’s health medical needs. The company also gains income from Juniper Pharma Services, which provides fee-for-service pharmaceutical development and clinical trials manufacturing to clients.
In early trading on Wednesday, Daré’s share price increased nearly 73 percent. By market close, the daily increase had leveled at 56.69 percent to $1.27 per share. Still, the hefty share price increase on Wednesday is indicative that investors are excited about the company’s license agreement with Juniper.
In the last 52 weeks, Daré share price peaked at $11.30 on July 5, 2017, but has drastically declined ever since then. That said, this license agreement could be what the company needs to gain investor attention.
Juniper’s share price decreased slightly on Wednesday by 0.63 percent to close at $7.95. TipRanks shows the latest analyst coverage for the company was two months ago. Roth Capital analyst Yasmeen Rahimi reiterated a “buy” rating for the company with a $24 price target.
Both companies have released positive news lately, which means investors should continue watching for further updates on their respective pipelines in relation to this agreement.
Don’t forget to follow @INN_LifeScience for real-time updates!
Securities Disclosure: I, Gabrielle Lakusta, hold no direct investment interest in any company mentioned in this article.