Biotech Alert: Searches spiking for these stocks today

These names in the biotech sector are seeing a substantial increase in search activity today, as determined by InvestingChannel. They include:

• Lipella Pharmaceuticals (LIPO), 7,350% surge in interest
• Protalix BioTherapeutics (PLX), 368% surge in interest
• Ovid Therapeutics (OVID), 116% surge in interest
• Jazz Pharma (JAZZ), 93% surge in interest
• Aravive (ARAV), 61% surge in interest
• Palatin Technologies (PTN), 23% surge in interest

Pipeline and key clinical candidates for these companies:

Lipella is focused on developing new drugs by reformulating the active agents in existing generic drugs and optimizing these reformulations for new applications. The company says it maintains a therapeutic focus on diseases with significant, unaddressed morbidity and mortality where no approved drug therapy currently exists, “believing that this focus can potentially help reduce the cost, time and risk associated with obtaining marketing approval.”

Protalix is focused on the development and commercialization of recombinant therapeutic proteins expressed through its proprietary plant cell-based expression system, ProCellEx. “Protalix was the first company to gain FDA approval of a protein produced through plant cell-based in suspension expression system. Protalix’s unique expression system represents a new method for developing recombinant proteins in an industrial-scale manner,” the company stated.

Ovid Therapeutics is striving to conquer seizures and intractable brain disorders with science. The company is advancing a focused pipeline of targeted small molecule candidates to modulate the intrinsic and extrinsic factors involved in neuronal hyperexcitation, which can cause seizures and other neuropathological symptoms. Ovid is developing: OV888, a potent and highly selective ROCK2 inhibitor, for the potential treatment of lesions associated with cerebral cavernous malformations; OV329, a GABA-aminotransferase inhibitor, for the potential treatment of treatment-resistant seizures; and OV350, a direct activator of the KCC2 transporter, for the potential treatment of epilepsies. In addition, the company’s ROCK2 inhibitor and KCC2 activator portfolios have the potential to treat other neurological conditions. Ovid also maintains a significant financial interest in the future regulatory development and potential commercialization of soticlestat, which Takeda is responsible for advancing globally. Soticlestat is a cholesterol 24-hydroxylase inhibitor, which is currently in Phase 3 trials for Dravet and Lennox-Gastaut syndromes.

Jazz Pharmaceuticals is a global biopharmaceutical company whose purpose is to innovate to transform the lives of patients and their families. The company has a diverse portfolio of marketed medicines and novel product candidates, from early- to late-stage development, in neuroscience and oncology. Within these therapeutic areas, Jazz is identifying new options for patients by actively exploring small molecules and biologics, and through innovative delivery technologies and cannabinoid science.

Aravive is developing targeted therapeutics to treat metastatic disease. The company’s lead product candidate, batiraxcept, formerly AVB-500, is an ultra-high affinity decoy protein that binds to GAS6, the sole ligand that activates AXL, inhibiting metastasis, tumor growth, and restoring sensitivity to anti-cancer agents. Batiraxcept has been granted Fast Track Designation by the FDA and Orphan Drug Designation by European Commission in PROC. Batiraxcept is in an active registrational Phase 3 trial in platinum resistant ovarian cancer, a Phase 1b/2 trial in clear cell renal cell carcinoma, and a Phase 1b/2 trial in pancreatic adenocarcinoma.

Palatin is a biopharmaceutical company developing first-in-class medicines based on molecules that modulate the activity of the melanocortin receptor systems, with targeted, receptor-specific product candidates for the treatment of diseases with significant unmet medical need and commercial potential. “Palatin’s strategy is to develop products and then form marketing collaborations with industry leaders to maximize their commercial potential,” the company says.

Recent news on these stocks:

October 23

Jazz Pharmaceuticals announced new data that examine the comorbid risk of cardiovascular disease in patients with narcolepsy and idiopathic hypersomnia as well as the effect of sodium intake on cardiovascular health. The company will also present results from the real-world TENOR study on individualized dosing regimens for adults with type 1 or type 2 narcolepsy transitioning to low-sodium Xywav oral solution from high-sodium Xyrem solution. Xywav is the first and only low-sodium oxybate approved in the U.S. for the treatment of cataplexy or excessive daytime sleepiness in patients 7 years of age and older with narcolepsy and for the treatment of idiopathic hypersomnia in adults. This substantial reduction could allow patients switching from Xyrem to Xywav to achieve a daily sodium intake target of 2,300 mg, and ideally 1,500 mg. Two presentations underline the importance of low-sodium treatment options to help manage cardiovascular risk in patients with narcolepsy and idiopathic hypersomnia. Analysis found that there were no clinically meaningful differences from baseline in systolic blood pressure in those who initiated treatment with low-sodium Xywav during the 10- to 14-week open-label study periods. A separate presentation on findings from a systematic review of literature evaluating the relationship between sodium intake and clinical outcomes demonstrated some statistically significant associations between higher sodium intake and certain cardiovascular and cardiometabolic outcomes. These studies demonstrate that low-sodium therapies can help patients with narcolepsy and idiopathic hypersomnia reduce their chronic sodium burden.

Palatin Technologies announced that it has entered into a definitive agreement with an institutional investor for the issuance and sale of an aggregate of 2.36M shares of its common stock at a purchase price of $2.12 per share of common stock. Palatin has also agreed to issue in a private placement warrants to purchase up to an aggregate of 2.36M shares of common stock at an exercise price of $2.12 per share. The gross proceeds from the offering are expected to be approximately $5M. Palatin intends to use the net proceeds of this offering for general corporate purposes.

October 20

Lipella Pharmaceuticals announces that the FDA has approved an Investigational New Drug application for a multi-center, phase-2a, dose-escalation clinical trial to assess the safety and efficacy of LP-310 in patients with symptomatic oral lichen planus, a highly morbid condition with no effective treatment.

October 18

Ovid Therapeutics and Ligand Pharmaceuticals Incorporated (LGND) announced that Ligand has acquired a 13% portion of the royalties and milestones owed to Ovid related to the potential approval and commercialization of soticlestat. In return, Ovid will receive a $30M payment, less certain reimbursable expenses. “We are pleased to partner with Ligand which recognizes the potential value of our royalty and milestone payments associated with soticlestat,” said Jeffrey Rona, Chief Business and Financial Officer of Ovid. “Ligand conducted an extensive review of the comprehensive scientific and development program supporting soticlestat, and together, we structured a creative and customized transaction that enables both parties to benefit in soticlestat’s expected future success while simultaneously enabling Ovid to propel our current pipeline of potential first-in-class or best-in-class neurological and anti-seizure medicines.” Prior to the transaction with Ligand, Ovid’s cash runway was expected to last into 2025, during which time five clinical and regulatory milestones are anticipated for its pipeline programs. With this additional, non-dilutive capital infusion from Ligand, Ovid anticipates that its cash runway is expected to last into 2026 and will enable the expansion of its clinical programs. Ovid sold its rights in soticlestat to Takeda (TAK) in 2021 and received an upfront payment of $196 million. Under that agreement, Ovid is eligible to receive regulatory and commercial milestone payments of up to $660 million, as well as tiered royalties on global net sales of soticlestat at percentages ranging from the low double-digits up to 20%, if soticlestat is approved and successfully commercialized.

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About “Biotech Alert”

The Fly will report on a selection of biotech stocks seeing a surge in interest from retail and financial professional investors, based on data from InvestingChannel.

This Fly exclusive recap reveals the biotech stocks that are seeing a spike in searches among the 20-plus million retail and financial professional investors through InvestingChannel’s online financial news media ecosystem.

This increased attention from the investors may be in response to, or advance of, outsized moves for stocks in the biotech sector, which tend to be volatile and prone to sharp swings in share price around binary events such as clinical study results and FDA approvals.