Vistagen secures patent for non-opioid pain treatment

SOUTH SAN FRANCISCO, Calif. - Vistagen Therapeutics (VTGN), a clinical-stage biopharmaceutical company with a market capitalization of approximately $80 million, announced today that it has been granted a U.S. patent for AV-101, its oral non-opioid treatment candidate for neuropathic pain. The patent, part of Vistagen’s global portfolio, protects the compound’s manufacturing methods and therapeutic uses related to the NMDA receptor, and extends until at least 2034. According to InvestingPro data, the company maintains a strong liquidity position with a current ratio of 13.29, suggesting ample resources for continued development.

Shawn Singh, Vistagen’s President and CEO, expressed the company’s strengthened position for potential collaborative development and commercialization efforts for AV-101. With analysts setting price targets significantly above current trading levels and a "Strong Buy" consensus according to InvestingPro, Vistagen is actively seeking partnership opportunities to advance its clinical-stage product candidate as a non-opioid alternative for pain management and other neurological disorders. The company’s relatively low beta of 0.77 suggests lower volatility compared to the broader market.

Preclinical studies published in The Journal of Pain have indicated that AV-101 has antinociceptive effects comparable to gabapentin, a commonly used pain medication, but with a more favorable side effect profile. Moreover, clinical data from Phase 1 studies suggested that AV-101 is well-tolerated, with no significant adverse events reported at any dose level compared to a placebo. While the company reported modest revenue of $0.88 million in the last twelve months, InvestingPro analysis reveals 7 additional key insights about Vistagen’s financial health and growth prospects, available to subscribers.

AV-101 is an investigational oral prodrug targeting the NMDA receptor, which plays a crucial role in pain signaling. The active metabolite of AV-101, 7-Cl-KYNA, does not block ion channels, unlike other NMDA receptor antagonists. This unique mechanism is believed to contribute to the compound’s safety and tolerability. Extensive receptor screening studies have shown no off-site target binding for AV-101 or its metabolite.

The U.S. Food and Drug Administration (FDA) has granted Fast Track designation to AV-101 for the treatment of neuropathic pain and as an adjunctive treatment for major depressive disorder. Vistagen is exploring strategic partnerships to further the clinical development and potential commercialization of AV-101.

This news is based on a press release statement from Vistagen. The company is headquartered in South San Francisco, CA, and focuses on developing treatments for psychiatric and neurological disorders. Their pipeline includes a range of intranasal and oral product candidates for conditions such as social anxiety disorder, major depressive disorder, and vasomotor symptoms associated with menopause. With an Altman Z-Score of 4.34 indicating financial stability, the company appears well-positioned to advance its development programs. Investors seeking detailed analysis can access Vistagen’s comprehensive Pro Research Report, available exclusively on InvestingPro, which provides in-depth insights into the company’s financial health and growth potential.

In other recent news, Vistagen Therapeutics has reported significant developments in its neuroscience pipeline. The company’s Phase 2A study of PH284 nasal spray showed promising results for treating cachexia in cancer patients, with the product improving patients’ feelings of hunger and demonstrating a safety profile comparable to a placebo. This news comes alongside the company’s progress on Phase 3 clinical trials for fasedienol, a drug candidate for Social Anxiety Disorder, which has prompted Stifel, a financial services firm, to maintain its Buy rating on Vistagen.

Additionally, Vistagen’s recent earnings call revealed an increase in research and development expenses to $10.2 million, primarily driven by clinical trials. The company reported a net loss of $13 million, with cash reserves standing at $97.6 million. Vistagen’s CEO, Shawn Singh, highlighted the ongoing Phase 3 trials for fasedienol and itruvone, and preparations for a U.S. IND submission for PH80, aimed at treating menopausal hot flashes.

These recent developments indicate Vistagen’s commitment to advancing its neuroscience pipeline and addressing unmet needs in various disorders. While the company’s financial results show a significant investment in research and development, the advancements in clinical trials and the positive analyst rating underscore the potential of Vistagen’s innovative treatments.

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