bevirimat (PA-457)

[postino]

http://www.panacos.com/product_2.htm


what is your opinion on that?

[leit]

Indeed, it's the first ARV drug that, in a sense, reverses the resistance issue: Lots of people have already failed it beforehand!!! 

[Pepino2]

I understand this post may better fit under a Credit Crunch Impacts on HIV research...please feel free to move this thread if there is any interest in this topic.

I happen to be looking through the subject of Maturation Inhibitors (bevirimat (PA-457) and came across a potentially good example of the impacts this crazy economy may be having on some junior research companies (or on all of them for that matter).

I researched the company ...Panacos Pharmaceuticals Inc. (PANC) and what strikes me is not the results of any recent breaking news with regards to Maturation Inhibitors but rather the impact of the overall economy could be having on their research and company altogether.

In a nutshell, their trial studies can be summarized (from press release that is) therein;
(http://www.panacos.com/press_detail.htm?1115284

WATERTOWN, Mass.--(BUSINESS WIRE)--March 4, 2008--Panacos Pharmaceuticals, Inc. (NASDAQ:PANC), a biotechnology company dedicated to developing the next generation of antiviral therapeutic products, today announced that it has discovered factors that predict response to bevirimat, its lead HIV maturation inhibitor. In addition, it has completed a Phase 2b study (Study 203) of five treatment-experienced patient cohorts with doses ranging up to 400 mg daily and provided preliminary analysis of the combined study results. Patients who had the predictors of response and effective bevirimat target blood levels had a mean viral load reduction of 1.26 log10. The active dose range and plasma concentrations required for optimal response to bevirimat have been determined and are achievable using existing solid or liquid formulations. Clinically, bevirimat's adverse event profile was indistinguishable from placebo across all doses in the study.

"In a very short period of time we have made a number of significant discoveries with regard to bevirimat," said Dr. Alan W. Dunton, Panacos' President and CEO. "We can specifically target the patients who will respond well to bevirimat in advance. In that population, we have seen a dramatic treatment response: a greater mean viral load reduction than in any other HIV drug with a published functional monotherapy study. The favorable safety profile of bevirimat also suggests its potential utility in earlier treatment lines."

What strikes me is this;
1.  Total Market capitalization as at Dec. 31st, 2008:  $7.3M USD

Yes only $7.3M USD.  We are talking about HIV here!

2.  Dec. 10th, 2008 Press Release (http://www.panacos.com/press_detail.htm?1115284

Especially the following;

WATERTOWN, Mass.--(BUSINESS WIRE)--Dec. 10, 2008--Panacos Pharmaceuticals, Inc. (NASDAQ: PANC), today provided an update on its corporate strategy. The Company is reducing its workforce, effective immediately, from 33 employees to 15. These actions are being taken to manage capital resources while Panacos pursues strategic alternatives, including the financing, partnering or sale of the Company or one of its several antiviral assets, including bevirimat (PA-457), the Company's first-in-class maturation inhibitor, which is currently in Phase 2b clinical studies in HIV-positive patients, the next-generation maturation inhibitor program (consisting of second- and third-generation compounds) and the oral fusion program (consisting of its lead compound, PA-161).

"Our talented and dedicated development team has worked so diligently on programs that continue to show great promise," stated Alan W. Dunton, MD, President and Chief Executive of Panacos. "However, we are faced with the reality that we must take drastic measures to reflect the current market environment. These actions are in line with our goal to secure partnerships or sale for our spectrum of HIV programs, including bevirimat, our second- and third-generation maturation inhibitors, as well as the oral fusion inhibitor program. Ultimately, everyone at Panacos is dedicated to ensuring HIV patients have access to these compounds, as there are limited choices for patients once their virus becomes resistant to the treatments that are currently available."

I am not advocating anything with regards to their products competitiveness in today's (and tomorrows) radically different HIV treatment alternatives, however it begs a question....

Is there a risk here that in today's economic mess some promising drugs get shelved? 

The share price closed at $0.1364 USD today.  Up 4.92%

Happy new year Everyone
PS.  I did not read their financial statements, will leave that to someone else.