Berwyn-based Annovis Bio is the latest in the line of Philadelphia-area biotech developers to sell shares to the public before having any sales or products, writes Joseph DiStefano for The Philadelphia Inquirer.
The three-employee company is taking advantage of the bull market in gene-and-cell-therapy stocks. The company’s shares opened at $6 but quickly rose to close at $9.59 on the first day of trading.
The company is currently in the process of developing an Alzheimer’s treatment that “inhibits the translation of neurotoxic proteins.”
Annovis hopes that ANVS-401 will also treat other conditions, including Down syndrome, traumatic brain injury, Parkinson’s disease, frontotemporal dementia, and glaucoma.
So far, the treatment has been tested on animals and was successful in restoring brain function.
“We discovered the mechanism of action showing that an impaired information system leads to death of a nerve cell,” said Joseph P. Hassett, Annovis spokesperson. “And, by restoring the information highway of the nerve cell, we restore its health and preserve the functions associated.”
The company said the sale of its shares generated $12 million, which will be spent on drug trials and general and administrative expenses.
Read more about Annovis Bio in The Philadelphia Inquirer here.
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