Moleculin Biotech Inc (NASDAQ: MBRX)
Moleculin Biotech is having a great start to the day in the pre-market hours after receiving Orphan Drug Designation from the FDA. Our partners at Trade Ideas were the first to alert us of gains on the stock a short while ago, and we’re glad they did. At the moment (7:35), MBRX is trading at $1.07 per share after a gain of $0.15 per share (14.02%) thus far today. So, what’s the deal? Why is the stock gaining? Here’s the scoop…
What’s Going On With MBRX?
Truth be told, this one took a little time to dig up. Unfortunately, none of the news agencies seem to be covering the news on Moleculin Biotech, and surprisingly, given the good news we’ll share in a second here, the company has not yet launched a press release. Nonetheless, we were able to find the reason for the gains on the United States Food and Drug Administration website.
The news is that MBRX has been granted Orphan Drug Designation for its lead candidate. The candidate, liposomal annamycin, is designed for the treatment of myeloid leukemia and has been granted the designation given the overwhelming need for a treatment in this debilitating and life-threatening condition.
What Does Orphan Drug Designation Mean For Moleculin Biotech?
Orphan Drug Designation is a designation that is given to medications designed to treat rare diseases. The designation means that MBRX will have an easier time getting the treatment through the approval process. It also means that the company will have better tools for protecting its intellectual property associated with the treatment. All in all, Orphan Drug Designation is overwhelmingly positive news that will be a benefit to both the company and its shareholders.
What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will be following MBRX incredibly closely. In particular, we’re interested in watching the process of ongoing work associated with liposomal annamycin. Considering the Orphan Drug Designation, things seem to be going swimmingly at the moment and will likely stay on this track. Nonetheless, we’ll continue to follow the story closely and bring you the news as it breaks!
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