Arca Biopharma Inc. (NASDAQ:ABIO)
Arca Biopharma Inc. (NASDAQ:ABIO) traded higher after the European Patent Office granted it a patent on methods for treating cardiovascular disease with a thiol-substituted isosorbide mononitrate. Shares of the company gained 20.83% to end Thursday’s trading session at $1.45 a share.
ABIO Stock Performance
Thursday’s rally capped yet another impressive run as the stock continues to bounce back from yearly lows. Arca Biopharma Inc. (NASDAQ:ABIO) has shed more than 40% in market value since the start of the year as short sellers continue to apply pressure. The stock is currently trading in a downtrend and faces immediate resistance at $1.60.
The new European Patent appears to have revitalized investors’ confidence in the stock. Titled Methods of and Compositions for Cardiovascular Disease and Conditions, the patent provides protection for Arca Biopharma Inc. (NASDAQ:ABIO) approach for treating patients with cardiovascular diseases and conditions.
The biopharmaceutical company has discovered what it believes is a pharmacogenetic target for AB171, which can be used in genetically targeted cardiovascular development programs. ARCA plans to advance the development of AB171 for the treatment of peripheral arterial disease and for chronic heart failure.
“The addition of AB171 to our genetically-targeted development pipeline, including the Gencaro atrial fibrillation-heart failure program, is consistent with that mission. We believe our experience with GENETIC-AF has established the feasibility of in-house design and execution of pharmacogenetic clinical trials, and has provided invaluable insights into this type of drug development,” said CEO, Michael Bristow.
Arca Biopharma Inc. (NASDAQ:ABIO) expects top-line results on a Phase 2B Genetic-AF trial in the latter part of the first quarter of 2018. The Phase 2B trial will be investigating the safety and efficacy of Gencaro to Toprol-XL for the treatment and prevention of atrial fibrillation or heart flutter.
“We are focused on executing our genetically-targeted approach to cardiovascular drug development and look forward to furthering our development of Gencaro as well as initiating additional pharmacogenetic development programs..,” said Mr. Brostow.
Arca Q3 Financial Results
Separately, Arca Biopharma Inc. (NASDAQ:ABIO) reported a net loss of (-$4.4) million or (-$0.39) a share, for the three months ended September 30, 2017. Net loss for the first nine months of the year came in at (-$14.3) million compared to a net loss of (-$12.2) million for the corresponding period last year. Research and development expenses for the quarter totaled $3.5 million compared to $3.7 million for Q3 2016.
Arca Biopharma Inc. (NASDAQ:ABIO) exited the quarter with cash and cash equivalent of $16 million compared to $23.5 million as of December 31, 2016. The cash balance is sufficient to fund operations and projected cost structure through the end of the second quarter of 2018.
I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.
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About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.