Botanix Share Price Rises 4% as Clinical Study Is Finalised (ASX:BOT)
The pot stock resurgence isn’t slowing down yet!
After a bumper week of news from the UN and US, cannabis companies are still going strong. With biotech-focused Botanix Pharmaceuticals Ltd [ASX:BOT] leading the charge this morning.
This tiny company is developing quite the novel use for cannabis too. Aiming to use CBD — one of two main ingredients in cannabis — as an anti-microbial agent. Specifically, for Staph infections.
And as the company divulged today, their latest Phase 2a study has now been wrapped up.
Back in April, Botanix was lucky enough to win the approval of the US Food & Drug Administration (FDA), gaining Qualified Infectious Disease Product (QIDP) status for their BTX 1801 treatment. An anti-microbial drug that they hope can reduce infections in post-surgical patients.
However, in order to get BTX 1801 to market they needed to put it through trials. With the Phase 2a study forming the current cornerstone of their investigation.
As of today, all the patients part of this study have now been treated with BTX 1801. Which will determine the final data points, and ultimate result of this study.
And while Botanix didn’t have any early feedback to share today, they did state that it will be available in early Q1 next year. Meaning it may be just a few weeks away, or at worst a couple of months.
If all goes well, then this could be a huge turning point for Botanix. Showcasing not only the medicinal properties of cannabis, but also providing an effective solution to a major health problem.
As Botanix’s President and Executive Chairman Vince Ippolito comments:
‘There has not been a new class of antibiotic for the treatment of gram-positive bacteria in more than 30 years and serious Staph and MRSA infections have become very difficult to treat. The Company has worked diligently to complete the BTX 1801 Phase 2a study despite the significant disruption caused by the COVID-19 pandemic by conducting the study in Western Australia.
‘We are very thankful to our study participant, our Perth site staff and study collaborators and we look forward to updating the market once top-line data are available early in the New Year.’
What’s next for the Botanix share price?
As Mr Ippolito outlines, the next major update for the company is these results. Which may or may not decide whether development of BTX 1801 continues or not.
For investors, as with any biotech stock, this is a major consideration. One that will likely determine the performance of the share price.
Investors should be wary of the risks this entails. But for speculators, it may be a tempting situation too good to pass up.
Either way, it’s yet another fascinating insight into the diverse world of local pot stocks.
For Money Morning
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