TapImmune Inc. (OTCMKTS:TPIV) is one of those companies on the OTC that do not suffer from financial problems. The company recently announced that it has reached an agreement with its institutional investors, in order to facilitate near-term capital infusion. As per the agreement the investors would be able to exercise their warrants to provide the company with $4.93 in near-term funding. Additionally, the company reserves the right to call warrants on its own, which could result in large influx of capital for its phase-2 trials.
The latest filing from TPIV showed $1.45 million in cash and a quarterly net loss of $981,000. Additionally, the company also has $1.53 million in assets, but unfortunately no revenues. TapImmune is a clinical stage cancer immunotherapy company, but has yet to release its first product in the market. Its lead product, Folate Receptor Alpha, has just cleared phase-1 of its trial, with positive results. The drug is all set to be moved towards phase-2, for which TPIV seems to have itself ready. The drug would target triple negative ovarian and breast cancer, a very profitable market.
As per the phase-1 results, the therapy was declared safe and provided a robust immune response. Now the availability of capital ensures that the company completes its phase-2 trial as planned. Once the product passes the phase-2 trials, it is expected to start generating the much awaited revenues for the company. However, a single product may not be able to move the company to new heights as the institutional investors would also expect a return and the company itself would need to refill its coffers.
In conclusion, even with huge potential for its lead product and an ever growing market, TPIV needs more than just one novel product to transform itself into a renowned name in the medical industry. At the moment, it seems to be doing just fine for a small penny stock company.
TapImmune Inc. (OTCMKTS:TPIV) experienced the trading of 32.64 million shares on May 2, while registering a rise of 13.04% to reach $0.39.