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KELOWNA, BC - Lexaria Bioscience Corp. (NASDAQ:LEXX)(NASDAQ:LEXXW), a $25.7 million market cap biotech company and leader in drug delivery platforms, has announced promising results from its recent pharmacokinetic study comparing DehydraTECH-tirzepatide oral capsules to the injectable Zepbound® for weight loss, which is not available in oral form and is sold only as an injection by Eli Lilly. The company’s stock has seen significant volatility, down over 54% in the past six months, though InvestingPro data shows it maintains a strong balance sheet with more cash than debt.
The study, referred to as Human Study #3 or GLP-1-H24-3, aimed to determine if tirzepatide, the active drug in Zepbound®, could be effectively delivered into the human bloodstream using Lexaria’s patented DehydraTECH technology through oral capsules. The results revealed that the oral capsules achieved roughly equal end-of-study blood-concentration levels as the injected drug. According to InvestingPro analysis, while the company shows impressive revenue growth of 77.6% in the last twelve months, it continues to invest heavily in research and development, with analysts not anticipating profitability this year.
Over the 8-day study, data from 10 participants receiving a single weekly injection of Zepbound® and 9 participants taking daily DehydraTECH-tirzepatide capsules were collected. Although injected Zepbound® typically showed higher peak blood levels, these levels declined after the second day. In contrast, the DehydraTECH-tirzepatide blood levels increased steadily each day, avoiding abrupt peaks or declines, and were still rising on the final day of the study.
The study also reported a reduction in side effects for the oral capsules, with 47% fewer adverse events and a 54% decrease in gastrointestinal side effects compared to the injectable Zepbound®. Additionally, both forms of tirzepatide showed comparable reductions in blood glucose and increases in blood insulin from baseline to Day 8.
Lexaria’s CEO, Richard Christopher, expressed that the study exceeded expectations by achieving reduced side effects, similar efficacy, and comparable blood-delivery levels to the injected tirzepatide by the end of the study. The company is currently conducting a 12-week study in Australia to further evaluate DehydraTECH’s effectiveness over an extended dosing period.
Lexaria’s DehydraTECH technology has previously demonstrated successful delivery of other leading weight-loss and diabetes control drugs in animal and human studies. The study’s positive results support Lexaria’s decision to continue evaluating DehydraTECH-tirzepatide in their ongoing Phase 1b registrational study in Australia.
This news is based on a press release statement from Lexaria Bioscience Corp. and highlights the company’s advancements in providing a viable oral alternative to injectable medications for weight loss and diabetes management. With a current ratio of 29.6x and an Altman Z-Score of 9.66, InvestingPro data indicates strong financial stability despite ongoing R&D investments. Analysts maintain optimistic price targets, with additional insights and financial metrics available through InvestingPro’s comprehensive analysis platform.
In other recent news, Lexaria Bioscience Corp. has announced the issuance of two new patents by the United States Patent and Trademark Office for its DehydraTECH™ technology, aimed at treating epilepsy. This development adds to the company’s portfolio, bringing its total to 48 granted patents. In addition, Lexaria reported promising results from its drug delivery studies, particularly in the GLP-1 sector, showcasing improved oral drug delivery and absorption. The company raised $13.4 million through equity and warrant exercises to support its ongoing development plans.
Meanwhile, H.C. Wainwright adjusted its price target for Lexaria Bioscience to $7.00, down from $10.00, but maintained a Buy rating following positive partial results from a human pilot study. The study revealed a significant reduction in adverse events with DehydraTECH-tirzepatide capsules compared to the conventional Zepbound injection. Shareholders recently approved key proposals at the annual meeting, including the election of directors and appointment of auditors, reflecting confidence in the company’s leadership and strategy.
Furthermore, Lexaria has made changes to its executive management, appointing John Docherty as Chief Scientific Officer while he continues as President. Docherty’s new compensation agreement includes annual salary increases and potential bonuses. These developments highlight Lexaria’s strategic efforts in advancing its drug delivery technologies and reinforcing its executive team.
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