Reverse Split & Prednisporin, a valuable resource for Ocular GvHD, Dry Eye Syndrome, and Allergic Conjunctivitis
Dr. Corrigan and Justin Renz remain tight lipped about FOV1101. There is a reason.
In addition to allergic conjunctivitis, Prednisporin can be used for ocular GvHD and Dry Eye Syndrome. Zalicus' December 2012 patent supporting the use of Prednisporin keeps Zalicus in the game, but Dr. Corrigan remains silent about the status of Big Red.
It is possible that there is a deal underway to not license but purchase Prednisporin. This is complicated because FOV1101 has been tested only for allergic conjunctivitis and has many other possible indications as mentioned above. What are they all worth? Also, Sanofi may accept a Big Red buyout, but what about Zalicus?
More importantly, how will this juggernaut affect the October reverse split deadline.
More and more, it looks like Zalicus wants a higher PPS to encourage institutional investing following expected Z160 success for one of the phase 2 trials underway. This means the reverse split WILL happen no matter what.
If CEO Corrigan see a Prednisporin deal on the horizon, expect an early reverse split, a split that now appear destiny and part of Zalicus' game plan going forward. Shed the retail #$%$, so to speak. In my opinion Bill Hunter would certainly promote this.
Cyclosporin A has been used as an immunosuppressive agent since the mid 1980s. It is used extensively in the prevention and treatment of graft-versus-host reactions.
It is also used as an ophthalmic emulsion for the topical treatment of dry eye syndrome.