Codebase Ventures Inc (CSE:CODE) (OTCQB:BKLLF) announced on Thursday that it has finalized a definitive agreement securing the rights to an innovative drug delivery system for hydroxychloroquine that could have a positive impact on the current global coronavirus (COVID-19) pandemic.
The early-stage investor said it is "actively pursuing" pharmaceutical opportunities for hydroxychloroquine, a drug that has been touted by President Donald Trump as a "game changer" for coronavirus patients.
"Codebase has finalized an exclusive agreement to launch a development transdermal patch program for hydroxychloroquine," Codebase Ventures CEO George Tsafalas said in a statement.
"Hydroxychloroquine in its current decades-old oral tablet form is subject to inconsistent dosing and side effects including nausea, vomiting, blurred vision, headache and overall toxicity," he added.
Here are some highlights of the deal:
- Codebase has agreed to acquire a 49% interest in Glanis Pharmaceuticals Inc
- Glanis Pharmaceuticals has recently filed for a US provisional patent for the transdermal delivery of hydroxychloroquine.
- The company will issue up to 35 million common shares to the shareholders of Glanis, as well as another 25 million shares to New York-based lab, Reformulation Research Laboratories Inc, that developed the patent application and the underlying technology
- The shares will be issued at a deemed price of $0.05 per share
- The agreement is subject to closing conditions
- On March 28, the FDA approved the emergency use of hydroxychloroquine for COVID-19 patients and health care workers in an unprecedented move
- The transformative delivery system will initially target COVID-19 through the FDA 505(b)(2) accelerated pathway provisions, and in the long-term for the drug's FDA approved applications for malaria, lupus and rheumatoid arthritis
While hydroxychloroquine is the subject of early studies evaluating its effectiveness against Covid-19, its present on-label use is a treatment against malaria, lupus and rheumatoid arthritis and provides a ready market for the new delivery system, said Codebase.
The new delivery method should reduce the common side effects of hydroxychloroquine by providing "controlled constant delivery," said the company. Transdermal delivery can provide a drug plasma concentration at a predetermined rate for a predetermined period of time, potentially drastically reducing side effects from decades-old oral tablets.
Codebase is a Vancouver-based investment company that consists of a small, hands-on team of financial and technology experts. It invests in emerging technologies and makes strategic investments in ambitious founders who aim to upend large markets.
Contact the author Uttara Choudhury at [email protected]
Follow her on Twitter: @UttaraProactive