Faron applied for a new patent – ​​This is what the analyst commented

A drug development company Faron Pharmaceuticals announced on Monday about the new patent application and related research.

The patent concerns the soluble Clever-1 protein, the use of which Faron has studied, among other things, for the treatment of autoimmune and inflammatory diseases. A soluble protein dissolves in a water-based environment such as the intercellular space.

With the research, Faron sees opportunities for a new drug development project.

Inderes analyst Antti Siltanen according to the research also expands the current view of the mechanism of action of bexmarilimab developed by Faron as a possible cancer drug.

“A possible new drug development project is an interesting opening, which, however, we do not model in our forecasts at this stage due to its early development phase,” says Siltanen in his comment.

Next, Faron plans to develop a drug prototype that would replicate the responses seen in the study, and which it could take to further studies.

According to Siltanen, at this stage of drug development, a few potential molecules are typically selected for further testing. Based on these tests, one or at most a few candidates are selected for preclinical studies, which are usually carried out with animal models.

“We think the patent is based on Faron’s core area of ​​expertise, i.e. the biology of Clever-1 and its role in immune defense. The patent and the drug development initiative are therefore interesting openings,” says Siltanen.

However, drug development is a slow process, and Siltanen estimates that the mentioned research and preclinical phases will last approximately 2–3 years before decisions can be made about starting the clinical phase of drug development.

“Failure in drug development even before the clinical stage is quite likely. At this stage, the financial potential of the project is still quite far away and the uncertainties are very significant,” says Siltanen.

“In our opinion, Faron’s investment story is still based on the progress in blood cancers and the success of the partnership. In the medium term, research in solid tumors and their funding will also rise to a significant position.”