August 2024 - Enter ACWActinogen’s Xanamem is being trialled in...

August 2024 - Enter ACW

Actinogen’s Xanamem is being trialled in close to 400 patients within the depression and Alzheimers disease (AD) indications. In terms of market size the global depression treatment market is set to exceed US $10.1 Billion in 2022, and expand at a CAGR of 5.2% to reach US$ 16.8 Billion by 2032. Whilst the global Alzheimers disease market is set to grow at a CAGR of 18.8 percent by 2033 to US $30.8 Billion due largely to the geriatric nature of our population. Both market segments unlike oncology and other biotech sectors involve very little intervention (i.e., surgery) and attribute a huge chunk of revenue to drugs and tablets. 42.5% of sector revenue for AD is derived from the US, but China has a growing older population as well, much in need of a drug to meet this huge unmet need. Its worth noting that in a webinar earlier this year Actinogen CEO Steven Gourlay mentioned he is searching for a partner to distribute Xanamem throughout China.

With results in Xanamems depression trial said to be “positively trending”, the results due early August find existing ACW holders anticipating a good outcome. More recently a peer review analysis reaffirmed Xanamems potential efficacy in patients with elevated blood pTau, as chronicled in the 100th Edition of the Journal of Alzheimer’s Disease. At the time Dr Dana Hilt, the Company's Chief Medical Officer said, ”To our knowledge Xanamem is the first drug of this class to have such compelling data.”

So what does this all mean for existing ACW holders, or those contemplating an investment in Actinogen? In short very little, until results come to hand that is. Suffice to say if successful in having a meaningful impact on those suffering from depression, and thereafter AD, Actinogen is sure to be under the watchful eye of Big Pharma (BP), due to the prospective revenue involved in such a growth industry. The recently oversubscribed capital raise for the stock would suggest BP aren’t the only ones interested in ACW, and with good reason. If Xanamem proves efficacious in the treatment of depression and AD, there are a myriad of other indications no doubt on the radar of Gourlay and his team of scientists. Schizophrenia, anxiety and various mental health disorders could all benefit from the improved cognition and reduced levels of cortisol promised through the treatment of Xanamem.

First things first. Gourlay noted in the aforementioned webinar that Nasdaq listed entities developing drugs to successfully treat depression currently had market cap’s in the vicinity of $500 million. That’s a signficant re rate for ACW should the results in August fall Actinogen’s way, given the stock has a current market cap of much less than that as at Fridays close. With this in mind August promises to be an interesting month for all things ACW.

DYOR