CANNAINVESTOR Magazine March / April 2017 - Page 183

Therapix Biosciences (NASDAQ: TRPX) priced its NASDAQ IPO last week, selling 2mm American Depository Shares (ADS) at $6 per share, adding to the small universe of companies that are pursuing FDA-approved cannabinoid-based drugs that are listed on the NASDAQ.

The company, which is repurposing cannabinoids previously approved by the FDA, is developing a treatment for Tourette's Syndrome (TS) that combines dronabinol (analog of synthetic THC) with fatty acid palmitoylethanolamide (PEA). Therapix has already begun to enroll a proof of concept Phase IIa clinical trial in the United States and is seeking to obtain Orphan Designation for THX-TS01. It plans to launch a Phase IIb trial in Europe later this year. In addition, it is developing an ultra-low dose of dronabinol that it will test in a Phase I clinical trial next quarter. It intends to enter THX-ULD01 into a Phase IIa proof of concept clinical trial in the first half of 2018 for treatment of mild cognitive impairment (MCI), for which there is no FDA-approved treatment.

Since the company is using substances already approved by the FDA, it is pursuing the 505(b)(2) regulatory path for both of these programs, which could speed their development.

The bottom-line is that the company is investing the IPO proceeds to open the door to some big opportunities. Laidlaw & Company underwrote the offering, and assuming they exercise the over-allotment option, there will be 3.5mm shares, giving the company a market cap of just $31.3mm. Zynerba (NASDAQ: ZYNE), which has a market cap of $260mm, has two products in development that are in Phase 2, including a synthetic CBD gel and a synthetic THC patch.