AcelRx Pharmaceuticals Inc (NASDAQ:ACRX), a specialty pharmaceutical company focused on the development and commercialization of innovative therapies for the treatment of acute pain, announced it has entered into Contract No. W81XWH-15-C-0046 worth up to $17.0 million, supported by the United States Army Medical Research and Materiel Command (USAMRMC) within the U.S. Department of Defense (DoD). The contract provides partial funding for ongoing development of ARX-04, including Phase 3 clinical, manufacturing and regulatory activities. ARX-04 is in development as a non-invasive, single-use 30 mcg sufentanil sublingual tablet in a disposable, pre-filled, single-dose applicator (SDA), for the anticipated treatment of moderate-to-severe acute pain in a medically supervised setting.
“We recently announced the initiation of the pivotal Phase 3 study of ARX-04 and are now very pleased to announce the DoD’s continued support of ARX-04. The funding, together with our existing resources, will allow us to complete the Phase 3 development program, continue with manufacturing activities, and ready the product for the potential submission of a New Drug Application (NDA). We are excited to continue our relationship with the DoD, which began in 2011 through a $5.6 million grant to fund Phase 2 development. We believe ARX-04 can potentially provide great benefit to our servicemen and women in the armed forces and presents promising commercial opportunities in a wide range of medically-supervised settings such as emergency rooms, and following short-stay surgeries,” statedHowie Rosen, AcelRx interim Chief Executive Officer.
Under the terms of the contract, commencing in Q2 2015, the DoD will reimburse AcelRx for costs incurred for development, manufacturing and clinical costs outlined in the contract, including reimbursement for certain personnel and overhead expenses. These development activities are intended to include completion of the Phase 3 clinical program and manufacturing development activities over the next 18-months. (Original Source)
Shares of Acelrx closed yesterday at $3.01 . ACRX has a 1-year high of $11.65 and a 1-year low of $2.96. The stock’s 50-day moving average is $3.96 and its 200-day moving average is $5.99.
On the ratings front, Acelrx has been the subject of a number of recent research reports. In a report issued on May 6, Mizuho analyst Mario Corso reiterated a Hold rating on ACRX, with a price target of $3, which represents a slight downside potential from current levels. Separately, on March 10, Jefferies Co.’s Biren Amin downgraded the stock to Hold and has a price target of $6.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Mario Corso and Biren Amin have a total average return of 25.4% and 16.8% respectively. Corso has a success rate of 65.9% and is ranked #188 out of 3602 analysts, while Amin has a success rate of 55.4% and is ranked #317.
AcelRx Pharmaceuticals Inc is a specialty pharmaceutical company. The Company is engaged in thedevelopment and commercialization of therapies for the treatment of acute pain.