A Philadelphia-based pharmaceutical, Annovis Bio, has raised USD12 million by listing its 2 million shares at USD 6 each.
The company has managed to net USD 2 million more by offering 40% more shares.
The company plans to use the funds raised to address the unmet needs in the Alzheimer’s disease market and is developing ANVS-401, which can inhibit the production of neurotoxic proteins, a potential cure for the disease. Moreover, the company is also planning to treat Down syndrome, traumatic brain injury, Parkinson’s disease, frontotemporal dementia, and glaucoma.
The company has become the latest biotech developer to sell its shares even before debuting in the sales department, after companies like Galera Therapeutics, a radiation-sickness drug developer and others such as Cabaletta Bio of Philadelphia, and Oyster Point Pharma.
Conatus Pharmaceuticals has decided to merge with a privately held San Diego biotech, Histogen, in an all-stock transaction.
Histogen boasts of its three potential products, including HST 001, or Hair Stimulating Complex (HSC), its lead drug for invasive treatment to treat male pattern hair loss. Besides this, HST 002, a human-derived collagen and extracellular matrix dermal filler, and HST 003- an extracellular matrix scaffold to treat articular cartilage defects, are the other products that the company is manufacturing.
Under the proposed all-stock transaction, Conatus will issue new shares to Histogen, whose shareholders would own 74% of the combined company. The investors of Conatus would hold the rest of the shares.
In a surprising move, Novartis has revealed the ceased development of a generic drug of GlaxoSmithKline’s Advair.
The decision of Novartis to back out from developing the generic has proved to be good news for other pharma companies like Hikma/Vectura leaving Mylan, a sole strong contender in the market.
The drug has faced the dejection from FDA before, and the company now claims the shelving of the drug to be data-driven instead of fear of suffering another rejection. Other companies in the field of developing generics should take a lesson from this and be well-armed for the long journey of getting their drug an OK from the FDA.