Based out of Germany, and headquartered in New York, Immunic (NASDAQ:IMUX) is a clinical-stage biotechnology company. It focuses on the research and development (R&D) of orally administered, small-molecule therapies for chronic inflammatory and autoimmune diseases.
Immunic Boasts a Small but Solid Pipeline of Drugs
Currently, Immunic’s pipeline comprises three small-molecule programs. The Vidofludimus Calcium (IMU-838) program, which is in Phase 3, is targeting the treatment of multiple sclerosis (MS). The second program, IMU-856, is focused on regenerating bowel epithelium and restoring intestinal barrier function, which could then find applications in the treatment of gastrointestinal diseases. The third program, IMU-381, is based on a next-generation molecule to cure gastrointestinal diseases.
It is worth noting that among the three ongoing programs, the IMU-838 program has shown remarkable progress in its trials to date.
Vidofludimus Calcium (IMU-838) and its Potential Uses
Vidofludimus Calcium is a small-molecule drug that the company is developing as an oral medication to treat multiple sclerosis (MS). There are several medications for treating MS, including injectables and oral drugs. However, the combined power of Vidofludimus Calcium’s neuroprotective, anti-inflammatory, and anti-viral effects, can potentially address multiple drivers of neurodegeneration in patients suffering from MS.
MS is a neurodegenerative disorder in which the patient’s immune system attacks the myelin (the outer protective layer of nerve cells) in the central nervous system. In the absence of the myelin , the nerve cells get damaged, resulting in loss of signals between the brain and other parts of the body.
MS is a chronic disease that gives rise to multiple disorders, like loss of memory, vision and body balance, muscle weakness, paralysis, and bladder control problems. The IMU-838 has shown signs of protecting the neurons from cell death, ultimately halting neurodegeneration and disability progression in patients suffering from MS and other degenerative diseases. Furthermore, its anti-inflammatory properties help in reducing relapses of MS and address brain atrophy (loss of brain cells). Meanwhile, the therapy’s anti-viral effects have the potential to suppress the Epstein-Barr virus-related T cells that are related to MS.
Importantly, in March 2024, Immunic received the fourth U.S. patent from the United States Patent and Trademark Office (USPTO) for the composition-of-matter of a specific polymorph of Vidofludimus Calcium. The patent also covers a related production method of the material. These patents protect certain aspects of the Vidofludimus Calcium until 2041 in the U.S. and until 2039 in International markets, unless extended further.
Immunic Bolsters its Finances with Private Offering
In January 2024, Immunic announced a three-tranche private placement offering of its common shares (or pre-funded warrants) of up to $240 million, with participation from existing and new investors. The first tranche successfully closed on January 8, with $80 million worth of funding. The remaining two tranches are subject to the successful release of certain trial data and other conditions.
Immunic intends to use the net proceeds to finance the ongoing clinical trials, operating expenses, and capital expenditures.
Is Immunic Stock a Buy?
Wall Street remains divided on Immunic’s stock trajectory. On TipRanks, IMUX stock has a Moderate Buy consensus rating based on two Buys and one Hold recommendation. Also, the average Immunic price target of $14.33 implies an impressive 1,065% upside potential, indicating expectations of a solid recovery from the current levels.
This article was written in partnership with Immunic. TipRanks may be compensated for its publication.
