Anavex Life Sciences Corp (OTCMKTS:AVXL) stated that data reported by the National Academy of Sciences is encouraging. The data highlights that when sigma-1 receptors are triggered with agonists, then they tend to mitigate the adverse impact of tau dysfunction. The issue of abnormal tau phosphorylation is seen in several neurodegenerative diseases. The one neurodegenerative disease that is largely linked to the problem of tau dysfunction is Alzheimer’s disease. Some of the other diseases are progressive supranuclear palsy, frontotemporal dementia and others.
Anavex stated that ANAVEX 2-73 that targeted sigma-1 receptor in dose-dependent study tend to block tau and amyloid-beta proteins. The mouse model trial data also reported that the drug blocked memory deficits. The findings were highlighted in a report released in the international scientific periodical of Neuropsychopharmacology. The study results stated that the drug has two major benefits to prevent, slow or reverse Alzheimer’s. As of now, it is in the Phase II a stud with preliminary data expected to be announced around 3Q2015.
The expert speaks
The Chief Executive, Christopher U. Missling expressed that they are encouraged to with the data as there is more potential in sigma-1 drug treatments including ANAVEX 2-73. The published data shows that tau toxicity can be blocked in Alzheimer’s and possibly in some of the other CNS diseases. Anavex team is excited by the encouraging results and looks forward for positive preliminary results for the Phase II a study later this year.
The company ended 2Q2015 with $6.3 million cash/cash equivalents. The cash balance came lower in the quarter due to the ongoing operational and clinical trials. However, the company is confident that it possesses adequate funds to carry out clinical trials and related operations for next two years. It plans to use the reserves to complete the trials of Anavex Plus and Anavex 2-73.
In last trading session, the stock price of Anavex Life Sciences Corp (OTCMKTS:AVXL) surged more than 5% to close the trading session at $0.420.