I think part of the problem is a rather unfair article in the WSJ a couple of years ago, implying deception in their clincal trials with Iamin gel. This was because, due to systemic problems with their control group, the results were different from a preliminary study.
Significantly, this same product got FDA-approval several months later. So, the WSJ article was itself a bit misleading. But, along with the "stockholder" lawsuit, it may have been a kiss of death. Makes my naive and untutored brain wonder about short sellers, etc.
I mean, here you have a company with a market capitalization less than the money they have in the bank and several FDA approvals in areas where there is supposed to be a reasonable market, etc.. I've never heard of a new FDA-approval not being worth _something_, But the market seems to be valuing Procytes' technology at nothing. Maybe people have been stung by this stock too many times in the past, so there is a lot of market resistance.
Don't know why some drug company has not picked up on them. Derm drugs is a rather specialized area that a lot of drug companies don't want to mess with. And the companies that do market in this area may already have their own competing products, which may not be nearly as good, but were invented "in house".
. Also, Procyte reports some efficacy with their drug in preventing the progression of ulcerative colitis too. This wiould take even more money to get thru the FDA. One problem is that it is extremely difficult for an individual or a small drug company to get a systemic drug application thru the FDA. In fact, an FDA official testified to this prejudice against small entities in a recent trial here in Houston.
This is not as true for medical devices or with topical drugs, which is why Procyte was able to get something thru. At this point, a big drug company is supposed to buy them out. This has not happened, so Procyte is being forced to do what such small recearch entities are just not set up to do, This is, market the stuff themselves. I'll bet if you call the number on their web page, they will sell you some <G>.
Peter H. Proctor, PhD, MD ("Dr.P") |
