First Wave Biopharma (NASDAQ:FWBI) stock is soaring over 140% today. This comes after First Wave announced that it has entered into a non-binding agreement to sell its potential treatment for inflammatory bowel disease (IBD).
First Wave Biopharma tentatively agreed to sell its IBD program “to an undisclosed biopharmaceutical company” for “a low seven-figure upfront payment” and potential payments tied to future sales.
FWBI has evaluated Niclosamide’s efficacy as a treatment for “ulcerative colitis and COVID gastrointestinal infections in Phase 2 trials.” The firm has also been preparing to test the drug’s potential as a treatment for colitis and diarrhea in metastatic cancer patients.
Niclosamide is approved in America as a remedy for infections caused by intestinal tapeworms.
FWBI’s Pipeline Beyond Niclosamide
First Wave indicated that it was looking to unload Niclosamide to concentrate on three other programs that it owns. All three are in the advanced stages of development.
These three assets include Capserod for the treatment of gastrointestinal (GI) indications and Adrulipase, a treatment for digestion problems caused by pancreatitis. The third asset is Latiglutenase, “a targeted, oral first-in-class biotherapeutic for celiac disease.”
The Price Action of FWBI Stock
Heading into today, FWBI had slumped 23% in the previous three months and 97% in 2023.
On the date of publication, Larry Ramer did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
