With a series of new patent applications has come the rise in the share price of CohBar Inc (OTCQX:CWBR).The company, which on October 13 applied for 25 new provisional patents, is making serious headway in the research into mitochondria based therapeutics: positive moves which seem to be beneficial to the entity’s shareholders especially.As seen in the chart below, the company’s share price is seen to trend upwards: CWBR Daily ChartOver the term of this article, we will review the strides made by the company in ensuring it grows and adds shareholder value in the process. We will further assess its financials in a bid to find out its strategy and how they are investing in the future.Having said this, it is important for us to briefly review the company for readers with rudimentary knowledge of its operations.CohBar Inc: An OverviewCWBR was founded in 2007 by a group of research scientists (founders) who focused their research on the human mitochondria. Currently, its lead preclinical development program is based on MOTS-c, a mitochondrial-derived peptide discovered in 2012 by the Company’s founders and their academic collaborators, whose research has shown that MOTS-c plays a significant role in the regulation of metabolism.The Company has developed novel, improved analogs of the MOTS-c peptide, CB4209 and CB4211, which have demonstrated significant therapeutic potential in preclinical models of obesity and nonalcoholic steatohepatitis (NASH). CWBR is currently advancing these drug candidates through IND-enabling activities.Mitochondria Research BreakthroughCWBR announced on October 4, 2017 that they would be present preclinical data on CB4209/CB4211, its lead drug candidate program for nonalcoholic steatohepatitis (NASH) and obesity, at The Liver Meeting® 2017, the 68th Annual Meeting of the American Association for the Study of Liver Disease (AASLD), being held October 20-24, 2017, in Washington, D.C.This presented a significant move for the company whose breakthroughs seem to reward them highly. The entity is expected to present the positive output coming from pre-clinical tests carried out on the drug at the conference, a move that saw the market react by the company’s share prices rising significantly from October 4th to date.Moreover, they have made headway into their novel drug candidates, CB4209 and CB4211, both which are currently being advanced for nonalcoholic steatohepatitis (NASH) and obesity through IND-enabling activities targeting initiation of a Phase 1 clinical trial in early 2018.Speaking during the announcement of the additional 25 patents to its drug portfolio, the company’s Chief Executive Simon Allen was quoted saying:
“We believe that these new discoveries, together with our existing pipeline, will help secure our position going forward as the leader in mitochondria based therapeutics. I’m particularly pleased that our team has been able to make these significant discoveries while simultaneously advancing our recently announced CB4209 and CB4211 candidates into IND-enabling activities. Going forward, we will continue to move our lead program toward the clinic, while prioritizing the most promising of these new discoveries for near-term internal development and partnership opportunities.”
Source:Similarly, during the same launch, Dr. Pinchas Cohen, Dean of the USC Leonard Davis School of Gerontology, and a CohBar founder and director was quoted saying:
“Growing activity and evidence in the research community continue to highlight the significant evolution-crafted roles that mitochondrial-derived peptides play in metabolism, health and disease, which are particularly relevant to our aging population, whose quality of life and longevity are most impacted by metabolic dysfunction. I expect to see many more discoveries with significant therapeutic potential in the future.”
Source:The company’s growth potential is linked to the drugs they produce, a factor which is further tied to its research base. CWBR seems to have invested both the financial and human resources into this which signifies a great future for them both in terms of novel research and building a reputation in the industry as well as building its financial muscle over the long term.Growth financing: Is it possible?CWBR recorded a financial loss over the period till June 2017 of about $1.9 million which is higher than that recorded in the previous period till June 2016 of about $1.5 million. This was due to an increase in their research and development cost increase during this period, with an increase of over $400,000.The loss is further attributable to the company’s inability to generate revenues given that they have not yet completed test phases for the drugs at present. They face a few more hurdles during this time, most of which entail successful completion of the clinical trials for all of their drugs and novel peptides. This will require higher investment in research, however, is bound to pay off in the long run.Finally, CWBR has just completed a $5.2 million private placement. This placement included issuing 3,438,053 units at a price of $1.50 per unit for total proceeds of approximately $5.2 million. Each unit consisted of one share of the Company’s common stock and one common stock purchase warrant. This will create a strong financial base within which the company can draw its funds to support research projects.The above paints a picture of a clear financial base coupled with heavy investment in research and development. The two, specifically within the medical industry, are bound to payoff quite significantly in the case that any of the medical product developed succeeds.ConclusionCWBR represents a success story in both the research and medical fields. Their proprietary research coupled with patents on their output proves beneficial for the company and is bound to bring good fortune to them in the future. This is bound to auger well for both the company and to any investor both in the short and long term.We will be updating our subscribers as soon as we know more. For the latest updates on CWBR, sign up below!Disclosure: We have no position in CWBR and have not been compensated for this article.
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