More on GUMM from Dow Jones Newsire last night...second clinical study by independent scientists in about 1 month will determine much:
November 1, 1999
GumTech: Chairman Says Second Study Under Way
NEW YORK -- GumTech International Inc.'s (GUMM) shares hit a 52-week high Monday after it reported that an internal study of its homeopathic cold product, Zicam, showed a reduction in the duration and severity of the common cold.
In addition, the company reported that the study will be published in the American Journal of Infection Control.
Results of the study showed that Zicam, an over-the-counter nasal gel, reduced the time in which people had colds by an average of 85% and reduced common cold symptoms including nasal congestion, sneezing, coughing and sore throats.
The Woodland Hills, Calif., company's shares recently changed hands at 16 13/16, up 2 7/16, or 17%, on Nasdaq volume of 1.1 million shares, more than 16 times the average daily volume of 65,600 shares. Earlier, the shares climbed as high as 17 7/8, eclipsing a previous 52-week high of 15 1/16 set on Jan. 28.
GumTech chairman Brown Russell said its a "safe conclusion"' to assume that investors are reacting to the news.
GumTech owns 60% of Gel Tech LLC, a joint venture with privately held Phoenix company BioDelivery Technologies Inc. that develops Zicam.
In about a month, Russell said the company will be releasing a second clinical study conducted by independent scientists.
The initial study of Zicam was conducted by Gel Tech LLC scientists over a two-cold season period and involved 104 subjects suffering from three out of nine cold symptoms for a period of 24 hours or longer.
Zicam, which is an ionic zinc gel, is currently on store shelves. And while the company has recorded some sales from the Zicam product line, Russell believes studies will help boost those numbers. He said the internal study is "just the beginning" of a planned marketing campaign for Zicam.
GumTech makes over-the-counter drugs in gum form under its own brand name and for other private labels. |
