In the past year or so, many biotech companies have come into focus among investors due to their work on vaccines and treatments to tackle the coronavirus pandemic.
One such stock is that of the biotech company CytoDyn Inc (OTCMKTS:CYDY) and this week it is back in focus after a key announcement from the company on Monday.
On Monday CytoDyn announced that it has chosen Chiral Pharma Corp with the task of registering its leronlimab coronavirus treatment product named Vyrologix in the Philippines.
The registration is going to be done under the provisions of a licensed physician’s request for Compassionate Special Permit (CSP). The treatment is going to be provided to patients for a fee.
It is a significant development for CytoDyn and the market recognized that as well. The stock soared on Monday after the announcement and delivered gains of as much as 29%. CytoDyn further noted that it is going to make as many as 100000 doses available to Chiral Pharma from its reserves for sales in the Philippines. However, that is not all.
The company also announced that it shared the results of several studies into Vyrologix as a treatment for COVID 19 patients with doctors, regulators and healthcare executives in the Philippines.
The sales of the product will start as soon as Chiral Pharma is able to get the CSP approval for it and it goes without saying that it could prove to be a major coup for CytoDyn. However, in addition to this news, there was another development with regards to the company that investors ought to keep in mind.
According to a filing at the Delaware Chancery Court this past week, the management and investors at CytoDyn agreed on a settlement with regards to a stockholder derivative lawsuit. It is another positive for the company and could even prove to be a boost for the stock as well.
Disclaimer: We hold no position in CYDY stock