NLS Pharma (NASDAQ:NLSP) stock is taking off on Friday after announcing an exclusive license agreement with Novartis (NYSE:NVS). This has it obtaining data in relation to mazindol from the company.
An NLS Pharma news release reveals that the company now has exclusive rights to data from the New Drug Application for Sanorex. This is a mazindol drug from Novartis submitted to the U.S. Food and Drug Administration (FDA) in 1972.
NLS Pharma notes that it also holds non-exclusive rights to information about Sanorex outside of the U.S. as well, except for it Japan. The company is allowed to sublicense this information to third parties under certain circumstances.
So why does this matter so much for NLSP stock? NLS Pharma is working on its own version of mazindol called Quilience. The company will be able to make use of the data obtained today to save money and speed up the development of the drug.
Alex Zwyer, CEO of NLS Pharma, said this about the news pushing NLSP stock up today.
‘Quilience’s unique mechanism of action, including its partial agonism of the orexin-2 receptor, has potential to provide significant benefits to patients suffering from narcolepsy, which remains a major unmet medical need. Other disorders related to sleep-wake cycle disturbances, such as idiopathic hypersomnia and obstructive sleep apnea, may also benefit from Quilience, and we remain focused on bringing this enhanced formulation of mazindol to the market.”
NLSP stock was up 95% as of Friday morning.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.
