The Immuron Ltd (ASX: IMC) share price is surging 8% today after providing an update on its drug candidate, IMM124E. We take a closer look at the details.
The post Why the Immuron (ASX:IMC) share price is surging 8% higher appeared first on The Motley Fool Australia. –
The Immuron Ltd (ASX: IMC) share price is a strong performer on the ASX today. This follows the biotechnology company’s update on the anti-viral activity of its drug candidate, IMM124E.
At the time of writing, Immuron shares are swapping hands for 18.5 cents, up 8.8%
What did Immuron announce?
Investors are buying up Immuron shares after the company provided a positive result on its SARS-CoV-2 (COVID-19) program.
According to its release, Immuron advised that Monash University scientists have conducted two tests using IMM124E against SARS-CoV-2. The immunologically-based assays were developed with two recombinant reagents, the SARS-CoV-2 spike protein and a receptor protein. The latter was obtained from Melbourne’s Peter Doherty Institute for Infection and Immunity.
Initial findings indicate that IMM124E neutralises activity in which the SARS-CoV-2 virus does not bind with the spike protein or receptor. Essentially, this means that when the virus comes into contact with IMM124E, it cannot latch and infect cells.
Pleasingly, the research team will now look into identifying the inhibitory molecule in IMM124E which causes the reaction.
Deputy director of the Monash Biomedicine Discovery Institute, Professor Lyras commented:
Our initial results suggest the inhibitory substance/s in the products are binding to other antigens present on the SARS-CoV-2 virus which interfere with the mechanism the virus uses to gain entry and infect human cells. We do not yet know which compound/s in the products are responsible for this interference. However, we are excited to try and identify them.
He went on to say, “it does not matter whether antagonists to the SARS-CoV-2 virus block the binding of the spike protein directly or indirectly as long as they can prevent or reduce infection”
In addition to the encouraging announcement, Immuron will appoint Dr Dan Peres as its chief medical officer. Dr Peres will oversee the company’s clinical development programs, predominately focusing on COVID-19.
Immuron share price snapshot
Since the beginning of the year, Immuron shares have recorded a loss of almost 20%, despite clinical progress. Over the last 12 months, however, the company’s shares have soared to register a gain of more than 110%.
Immuron has a market capitalisation of roughly $42 million, with approximately 227 million shares on issue.
Where to invest $1,000 right now
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.
*Returns as of February 15th 2021
- Lynas (ASX:LYC) share price slides following Malaysian update
- Pure Foods (ASX:PFT) share price surges on major revenue deal
- The Perenti (ASX:PRN) share price is collapsing 29%. Here’s why
- Is the NAB share price a buy at $26?
- Why the Harmoney (ASX:HMY) share price is storming 10% higher today
Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.