AUSTIN, Texas - Anebulo Pharmaceuticals, Inc. (NASDAQ: ANEB), a biopharmaceutical company, has been awarded an initial $0.9 million grant from the National Institute on Drug Abuse (NIDA), with the possibility of an additional $1 million in funding, to support the development of their drug, intravenous selonabant. This grant aims to facilitate the creation of an emergency treatment for acute cannabis-induced toxicities, especially in children.
The grant, structured in two tranches, is part of a two-year cooperative agreement with NIDA, a component of the National Institutes of Health (NIH). The funding is contingent upon Anebulo Pharmaceuticals achieving certain milestones in the drug's development. The grant was allocated under NIH award number 1U01DA059995-01.
Ken Cundy, Chief Scientific Officer of Anebulo Pharmaceuticals, commented on the significance of the grant, highlighting the urgent medical need for a treatment that can counteract the severe effects of cannabis ingestion in children. He noted that pediatric cannabis exposure can lead to serious conditions such as central nervous system (CNS) depression, respiratory depression, and in rare cases, coma or death.
Richie Cunningham, CEO of Anebulo Pharmaceuticals, expressed the company's commitment to advancing the intravenous formulation of selonabant towards clinical testing. He believes that if approved, selonabant could become a critical therapy for reversing the dangerous effects of accidental cannabis ingestion in children.
Selonabant (ANEB-001) is described as a potent, small molecule antagonist of the CB1 receptor, which is currently under development to address the unmet medical need for a specific antidote for cannabis toxicity. The drug has completed a Phase 2 clinical trial, evaluating its effectiveness in blocking and reversing the negative effects of acute cannabinoid intoxication.
The company has also been conducting an observational study in emergency departments to gather data on patients affected by acute cannabinoid intoxication. This study aims to measure cannabinoid concentrations in plasma and collect information on patient outcomes.
The information in this article is based on a press release statement from Anebulo Pharmaceuticals, Inc.
In other recent news, Anebulo Pharmaceuticals has unveiled a new equity compensation policy for non-employee directors. This policy, which came into effect in mid-June, was recommended by the Compensation Committee and approved by the Board of Directors. It stipulates that each non-employee director will receive an initial equity award of an option to purchase 50,000 shares of the company's common stock, with these options vesting monthly over three years.
Additionally, directors will receive an annual equity award of an option to purchase 25,000 shares of common stock. This policy is part of recent developments designed to align the interests of its directors with those of its shareholders. The company announced this new policy in a Form 8-K filing with the Securities and Exchange Commission.
InvestingPro Insights
In light of Anebulo Pharmaceuticals' recent grant from NIDA, investors may be closely monitoring the company's financial health and market performance. According to real-time data from InvestingPro, Anebulo Pharmaceuticals holds a market capitalization of $57.05 million. Despite the potential for growth with the development of their drug, selonabant, the company's stock has experienced significant volatility. Over the last week, the price total return has decreased by 9.09%, and over the last month, it has declined by 17.91%.
InvestingPro Tips suggest that Anebulo Pharmaceuticals is trading at a high Price / Book multiple of 11.44 as of the last twelve months ending Q3 2024, which indicates that the stock may be valued richly relative to the company's book value. Additionally, the company's liquid assets exceed short-term obligations, providing some financial flexibility in the near term.
Investors considering Anebulo Pharmaceuticals should note that analysts have recently revised their earnings expectations downwards for the upcoming period, and the company is not expected to be profitable this year. For a more comprehensive analysis, including additional InvestingPro Tips for Anebulo Pharmaceuticals, visit https://www.investing.com/pro/ANEB. To access these insights and more, use the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription. There are 10 additional InvestingPro Tips available for investors seeking to deepen their understanding of Anebulo Pharmaceuticals' financial and market performance.
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