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Palisade Bio reports positive results for UC therapy

Published 16/04/2024, 16:22
PALI
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CARLSBAD, CA - Palisade Bio, Inc. (NASDAQ:PALI), a biopharmaceutical company specializing in autoimmune and inflammatory disease treatments, announced the successful completion of a key study for its drug candidate PALI-2108, intended for ulcerative colitis (UC) patients.

The study, which evaluated the ex-vivo bioactivation of the colon-specific phosphodiesterase-4 (PDE4) inhibitor prodrug, showed promising results with a high conversion rate to its active form in stool samples from both healthy volunteers and UC patients.

The analysis, conducted in collaboration with Altasciences, a contract research organization based in Montreal, QC, used liquid chromatography-mass spectrometry (LC-MS) to assess the enzymatic activity in stool samples. Results indicated that PALI-2108 achieved a mean conversion rate of 90.1% into its active PDE4 inhibitor form within 24 hours, with the rate steadily increasing over time.

Dr. Mitch Jones, Chief Medical Officer at Palisade Bio, commented on the findings, stating, "The results from this study underscore our confidence in PALI-2108 as a targeted treatment for moderate-to-severe UC." He highlighted the consistently high conversion rates as indicative of the drug's potential as an innovative approach to managing the condition.

Palisade Bio aims to transform the treatment landscape for patients with autoimmune, inflammatory, and fibrotic diseases through targeted therapeutics.

The company's progress in developing PALI-2108 is based on a press release statement.

InvestingPro Insights

As Palisade Bio, Inc. (NASDAQ:PALI) advances its drug candidate PALI-2108, it's worth noting the company's financial health and market performance. With a market capitalization of just $3.54 million, Palisade Bio is considered a micro-cap stock, which often entails higher volatility and risk. The company's revenue for the last twelve months as of Q4 2023 stood at $0.25 million, with a gross profit margin of 100%, indicating that all revenue is translating into gross profit. However, the operating income reflects significant losses, with an adjusted operating income of -$12.85 million, suggesting substantial investment in research and development as well as other operational expenses.

InvestingPro Tips reveal that Palisade Bio holds more cash than debt on its balance sheet, which is a positive sign for the company's financial stability. Moreover, analysts anticipate sales growth in the current year, which could be a response to the positive study results of PALI-2108. On the other hand, the company is quickly burning through cash and is not expected to be profitable this year. Additionally, the price of PALI shares has fallen significantly over the last year, with a one-year price total return of -78.84%, reflecting investor concerns and the challenges faced in the biopharmaceutical sector.

For investors interested in further analysis and metrics on Palisade Bio, there are additional InvestingPro Tips available, which can be accessed at InvestingPro. Use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, and discover the full range of insights that could help inform investment decisions in the biopharmaceutical industry.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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