Alzamend reports promising results for brain-targeted lithium therapy via Investing.com
ATLANTA – Alzamend Neuro, Inc. (NASDAQ:ALZN), a biopharmaceutical company involved in the development of treatments for neurological disorders, announced the completion of a preclinical study suggesting that its investigational lithium, AL001, may offer therapeutic benefits in Alzheimer’s disease. and other neurological conditions with a potentially better safety profile.
The study, conducted at the University of South Florida and analyzed by Sannova Analytical LLC, compared brain and plasma lithium levels obtained by AL001 with those of lithium carbonate, the current FDA-approved treatment. In the study, 5XFAD mice, a model for Alzheimer’s research, received different doses of both substances over a two-week period. The findings showed that AL001 led to consistently higher lithium concentrations in critical areas of the brain at lower doses than lithium carbonate, while also showing lower plasma lithium levels, suggesting a reduced risk of systemic side effects.
These results could have important implications for patients with Alzheimer’s, bipolar disorder, major depressive disorder, and post-traumatic stress disorder, as they suggest that AL001 may deliver brain-specific lithium therapy more effectively and with fewer side effects. The reduced systemic exposure observed with AL001 indicates a potentially safer lithium treatment, which may reduce the need for frequent lithium blood monitoring and reduce the risk of thyroid and kidney problems.
Alzamend’s CEO, Stephan Jackman, expressed optimism about the study’s results, saying the data will guide future “Lithium in Brain” Phase II clinical trials in collaboration with Massachusetts General Hospital. These trials will test AL001 in healthy subjects and patients diagnosed with mild to moderate Alzheimer’s and other conditions, based on a dose level deemed appropriate in a randomized trial.
Alzamend’s pipeline also includes AL002, a cell-based vaccine for Alzheimer’s. Both AL001 and AL002 are licensed from the University of South Florida Research Foundation, Inc.
Although these findings are encouraging, they are based on animal models, and the efficacy and safety of AL001 in humans will be further analyzed in future clinical trials. The information in this article is based on a press release from Alzamend Neuro, Inc.
In other recent news, Alzamend Neuro has made significant strides in the treatment of Alzheimer’s with the successful determination of the maximum tolerated dose of its dementia treatment AL001. The company also achieved compliance with Nasdaq’s shareholder equity requirement through the sale of $25 million of its Series A Convertible Preferred Stock. Additionally, Alzamend Neuro entered into an At-the-Market sale agreement with Ascendiant Capital Markets, facilitating the sale of up to $6.5 million of common stock. Ascendiant Capital revised its outlook on Alzamend Neuro, lowering its 12-month price target to $21 from $25 previously, while maintaining a buy rating on the stock.
The company has launched multiple Phase II clinical trials in collaboration with Massachusetts General Hospital for its AL001 and ALZN002 therapeutics. These trials aim to test for increased levels of lithium in the brain, which may improve the treatment of Alzheimer’s, bipolar disorder, major depressive disorder, and post-traumatic stress disorder. Alzamend Neuro also announced a one-tenth stock split and initiated a significant conversion of preferred stock into common stock and warrants, potentially allowing for a purchase price of up to $25 million. These are the latest developments in Alzamend Neuro’s ongoing efforts in the biopharmaceutical field.
InvestingPro Insights
Although Alzamend Neuro’s latest research results for AL001 are promising, investors should consider the company’s financial condition and market performance. According to InvestingPro data, Alzamend’s market capitalization stands at $6.04 million, reflecting its early stage in drug development.
InvestingPro tips highlight specific challenges the company is facing. Alzamend is “quick to burn through cash” and “suffers from a weak gross margin,” which is typical of biotech firms in the research and development phase. The company’s financial health is further emphasized by the fact that “its current liabilities exceed its liquid assets,” although it “carries more cash than debt on its balance sheet.”
The stock’s recent performance has been concerning, with InvestingPro data showing a 19.4% decline in the past month and a massive 92.01% decline in the past year. This is consistent with InvestingPro’s tip that “the stock has made significant gains over the past week” and is “trading around a 52-week high.”
Investors should note that analysts “do not expect the company to be profitable this year,” which is consistent with the nature of early stage biopharmaceutical companies that invest heavily in research and development.
For a comprehensive analysis, InvestingPro offers 16 additional tips on Alzamend Neuro, which provide in-depth information about the company’s financial health and market conditions.
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