MMJ takes major step forward on phase 2 trials
MMJ PhytoTech (ASX:MMJ) has taken a major step forward on its journey to becoming a pharmaceutical player in the epilepsy space – confirming phase 2 trials for Q4.
It told its shareholders yesterday that following on from successful phase 1 trials in the first quarter this year that it was now in the process of designing phase 2 trials for its Gelpell PTL101 capsule, with the trial to be run out of Israel.
The phase 1 trial was a success for MMJ, where it successfully demonstrated that it had a better cannabidiol (CBD) and THC absorption rates than market-leading spray Sativex, from GW Pharmaceuticals.
This means the active ingredients are able to work faster than the market leading brand, although there is still water to go under the bridge still.
MMJ will be hoping the phase 2 trials confirm the product’s efficacy against other solutions on the market, with MMJ managing director Andreas Gedeon saying MMJ was truly unique in the space.
“While many other companies try and fail in attempting to reach this stage, our ability to compete with a large pharmaceutical player like GW results from the synergies of our vertically integrated global supply chain,” he said.
MMJ still has a long way to go before being matched to GW’s share price or market cap, so while competitive on product you should still take a cautious approach to making an investment decision in this company and seek professional financial advice.
MMJ operates several arms with a cultivation and extraction operation in Canada, a product development arm in Switzerland, and a R&D unit in Israel.
A phase 2 trial has the potential, the company said, to act “as a key catalyst” towards the commercial development of the PTL101 prescription drug.
The development of another drug would also be beneficial to those suffering from intractable epilepsy – with 100,000 children in the US alone suffering from the treatment-resistant category of the disease.
It is estimated that treatment remains ineffective for as many as 30% of sufferers, due to drugs failing to control the frequency of seizures or patients not being able to manage the side-effects of the drugs.
In other MMJ news, it told its shareholders that it in the final stretch of designing a phase 2 trial on its PTL201 drug, aimed at managing spasticity associated with multiple sclerosis.