La Jolla Pharmaceutical Company (NASDAQ:LJPC), a leader in the development of innovative therapies intended to significantly improve outcomes in patients suffering from life-threatening diseases, today announced that it has signed two exclusive worldwide license agreements for the intellectual property rights covering La Jolla’s next-generation gentamicin derivatives, LJPC-30Sa and LJPC-30Sb. The first license agreement is with the Indiana University Research and Technology Corporation (IURTC), and the second is with the IURTC and the University of Alabama at Birmingham (UAB). The license agreements, which follow from the previously announced option agreements, cover the use of LJPC-30Sa and LJPC-30Sb as antimicrobial agents and for the potential treatment of rare genetic disorders.
Despite kidney toxicity, gentamicin has become one of the most commonly prescribed hospital antibiotics due to its broad spectrum of antimicrobial efficacy. Gentamicin consists primarily of a mixture of four distinct but closely related chemical entities that may contribute differentially to the product’s toxicity profile. LJPC-30Sa and LJPC-30Sb are purified components of the currently marketed gentamicin product that retain the biologic activity of gentamicin, yet appear to lack the traditional kidney toxicity associated with it.
La Jolla plans to pursue a dual development strategy with its next-generation gentamicin derivative program. Specifically, La Jolla plans to develop LJPC-30Sa and LJPC-30Sb not only for the potential treatment of serious bacterial infections but also for the potential treatment of rare genetic disorders, such as cystic fibrosis and Duchenne muscular dystrophy. Following a pre-Investigational New Drug Application (IND) meeting with the U.S. Food and Drug Administration (FDA), La Jolla has received guidance that it may proceed with a proposed Phase 1 clinical trial following the submission of an IND.
“We are delighted by the continued progress of our next-generation gentamicin derivative program with our colleagues at IURTC and UAB,” said George Tidmarsh, M.D., Ph.D., President and Chief Executive Officer of La Jolla. “Following a positive pre-IND meeting with the FDA, we look forward to further advancing this program with the filing of an IND followed by the commencement of a Phase 1 clinical trial.” (Original Source)
Shares of La Jolla opened today at $29.69 and are currently trading up at $30.45. LJPC has a 1-year high of $34.48 and a 1-year low of $7.20. The stock’s 50-day moving average is $27.80 and its 200-day moving average is $22.28.
On the ratings front, La Jolla has been the subject of a number of recent research reports. In a report issued on July 7, Chardan analyst Gbola Amusa MD CFA reiterated a Buy rating on LJPC, with a price target of $60, which implies an upside of 102.1% from current levels. Separately, on May 11, H.C. Wainwright’s Reni Benjamin reiterated a Buy rating on the stock and has a price target of $20.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Gbola Amusa MD CFA and Reni Benjamin have a total average return of 19.9% and 1.6% respectively. CFA has a success rate of 70.2% and is ranked #279 out of 3724 analysts, while Benjamin has a success rate of 37.5% and is ranked #1771.
La Jolla Pharmaceutical Co is a biopharmaceutical company focused on the discovery, development and commercialization oftherapies intended to significantly improve outcomes in patients suffering from life-threatening diseases.