Kazia Therapeutics (NASDAQ:KZIA) stock is taking off on Wednesday following an update from the U.S. Food and Drug Administration (FDA) for its pediatric cancer treatment.
The FDA has granted Rare Pediatric Disease Designation (RPDD) to Kazia’s paxalisib. This is a drug in development to treat children suffering from atypical rhabdoid / teratoid tumors (AT/RT), which is a rare and aggressive childhood brain cancer.
So what does that mean for KZIA stock and paxalisib? It sets the company up to potentially receive a pediatric priority review voucher (pPRV). This gives it a priority for an expedited six-month review of the drug if approved. These are also tradable with prices typically going for more than $100 million.
The most recent FDA update follows a presentation of pre-clinical data from Professor Jeffrey Rubens and colleagues. This took place at the American Association of Cancer Research (AACR) Annual Meeting back in April.
Dr. James Garner, CEO of Kazia Therapeutics, said the following about today’s FDA news boosting KZIA stock.
“Brain cancer is the most common cause of cancer death in children, and outcomes in many forms of childhood brain cancer have not improved in decades. We very much hope that paxalisib can make a difference to families affected by both DIPG and AT/RT, and we will be working closely with clinicians, researchers, and FDA to determine the optimal way to move the drug forward.”
Heavy trading of KZIA stock follows the FDA news today. This has more than 4 million shares on the move as of this writing. That’s well above its daily average trading volume of around 275,000 shares.
KZIA stock is up 4.8% as of Wednesday morning.
There’s more stock market news to check out below!
We’ve got all the hottest stock updates for Wednesday! That includes what has shares of Hexo (NASDAQ:HEXO), Just Eat Takeaway.com (OTCMKTS:TKAYF) and DoorDash (NYSE:DASH) moving today. You can find out more at the following links!
More Wednesday Stock Market News
- HEXO Stock Soars 7% After Shareholders Approve Tilray Transaction
- AMZN, TKAYF: 9 Things to Know About the Amazon Grubhub Deal
- Why Is DoorDash (DASH) Stock Falling Today?
With only the rarest exceptions, InvestorPlace does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that InvestorPlace.com’s writers disclose this fact and warn readers of the risks.
Read More: Penny Stocks — How to Profit Without Getting Scammed
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.