Silo Pharma partners with WuXi AppTec for MS peptide study

Published 07/08/2024, 20:04
Silo Pharma partners with WuXi AppTec for MS peptide study

SARASOTA, FL - Silo Pharma Inc. (NASDAQ:SILO), a biopharmaceutical company, has announced a collaboration with WuXi AppTec for preclinical research on a peptide aimed at treating multiple sclerosis (MS). This peptide, SPU-16, is designed to home in on the central nervous system and specifically target inflamed tissues within the spinal cord.

The partnership with WuXi AppTec, a prominent contract research organization, will focus on a small animal study to assess the tissue specificity of SPU-16 using an experimental autoimmune encephalomyelitis (EAE) model, commonly employed for MS research. Silo's CEO, Eric Weisblum, expressed optimism about the potential of SPU-16 to enhance the effectiveness of existing and future MS treatments while reducing drug toxicity.

Multiple sclerosis is a debilitating neurological disease prevalent among young adults. Current market projections estimate the global MS drugs market will expand significantly, from $21.2 billion in 2024 to $38.9 billion by 2032, growing at a compound annual growth rate of 7.9%.

Silo Pharma specializes in developing treatments for psychiatric disorders, chronic pain, and CNS diseases, leveraging both traditional and psychedelic compounds. Other products in their pipeline include an intranasal treatment for PTSD and stress-related anxiety, a time-release ketamine implant for fibromyalgia and chronic pain, and an intranasal compound for Alzheimer's disease.

In other recent news, Silo Pharma has been actively pursuing the development of novel therapeutics to address a range of health conditions. The company has secured an exclusive global license to develop its Alzheimer's medication, SPC-14. Preclinical trials suggest that SPC-14 could potentially alleviate stress-related behaviors and anxiety linked to Alzheimer's disease.

Silo Pharma has also advanced in the development of its SP-26 ketamine implant for chronic pain, with preclinical research indicating promising results. In addition, the company has initiated a pivotal Good Laboratory Practice study for its SPC-15 intranasal therapeutic for post-traumatic stress disorder, a significant step towards human clinical trials.

The company has secured exclusive rights to develop and market SPC-15 for stress-related disorders and PTSD through a licensing deal with Columbia University. Silo Pharma has also amended its Master License Agreement with the University of Maryland, demonstrating an ongoing commitment to the agreement's terms.

In financial developments, Silo Pharma has announced a registered direct offering and concurrent private placement of securities, aiming to raise approximately $2 million. These funds are projected to be used for working capital and general corporate purposes. The company has also reported encouraging results from a study on a new drug formulation for depression treatment, potentially improving mood stability and extending remission periods for patients.

InvestingPro Insights

In light of Silo Pharma Inc.'s recent collaboration with WuXi AppTec, investors are looking closely at the company's financial health and market performance. According to InvestingPro data, Silo Pharma holds a market capitalization of $6.05 million, illustrating its position as a smaller player in the biopharmaceutical industry, which aligns with the "InvestingPro Tip" that identifies the company as a niche player in the biopharmaceutical industry.

One of the most striking "InvestingPro Data" metrics is the company's gross profit margin, which stands at an impressive 91.9% for the last twelve months as of Q1 2024. This high margin indicates Silo Pharma's ability to retain a significant portion of its revenue as gross profit, which could be a positive sign for investors looking at the company's operational efficiency.

However, the company's stock has experienced high volatility, as indicated by the "InvestingPro Tip" that it generally trades with high price volatility. This is reflected in the price total return data, showing a 41.28% increase over the last month, yet a 33.98% decrease over the past week. This volatility may appeal to certain investors looking for short-term opportunities but could also signal caution for those seeking long-term stability.

For those interested in delving deeper into Silo Pharma's investment potential, "InvestingPro Tips" on https://www.investing.com/pro/SILO reveal additional insights. Currently, there are 12 tips available, including observations on share buybacks and cash holdings, which could provide valuable information for evaluating the company's strategic moves and financial resilience.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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