In recent years, biotechnology companies have dabbled in developing medical cannabis products, which have been proven to alleviate symptoms of disorders ranging from irritable bowel syndrome to even those of cancer. However, as medical cannabis continues to make positive progress in the United States, more and more biotech companies are diving into the realm of cannabinoid-based drug development and treatments — and they are certainly not being disappointed by the results.
Revenue generating opportunities across the medical cannabis sector are only becoming more apparent and accessible, especially seeing as 29 states have legalized the use of the drug. Additionally, over 20 disorders are known to be treatable by medical cannabis, thus driving up consumer demand for products that are effective and will not disrupt their daily lives with a hallucinogenic high.
These desires have been satisfied through the production of drugs that harness the power of the cannabidiol (CBD) molecules. Similar to THC, CBD is known to have therapeutic benefits, but it is preferable to THC because it does not create that aforementioned hallucinogenic high. Because of this discovery, several biotech companies have stepped up and become more heavily involved in the medical cannabis sector. These companies — as well as the success they have seen — are as follows:
After announcing top-line results from its double-blind, placebo controlled Phase 2 STAR 1 (Synthetic Transdermal Cannabidiol for the Treatment of Epilepsy) clinical trial, which evaluates the effects of cannabidiol gel used in the treatment of adult epilepsy patients with focal seizures, Zynerba has seen great financial success. Over the past several months, the company’s stocks have risen steadily, with its greatest peaks being seen during after hours trading.
This company, which specializes in clinical stage pharmaceuticals, has seen impressive growth since its first study concerning cannabidiol drug treatments. As of late, Therapix has overseen multiple clinical trials that use cannabidiol-based drugs, including a Phase IIa clinical trial in Tourette’s Syndrome at Yale University. This development alone has led to the company seeing an uptick in stock market activity by the close of their second quarter of 2017 — a major difference from the numbers they saw at the close of the corresponding quarter in 2016.
Earlier this year, GW announced its cannabidiol-based drug, Epidiolex — which treats symptoms seen in patients suffering from epilepsy, Dravet syndrome, Lennox-Gastaut Syndrome (LGS), Tuberous Sclerosis Complex (TSC), and even Infantile Spasms (IS) — has officially been submitted to the FDA for approval. This caused a positive surge in the company’s stock value, which is only anticipated to continue, seeing as the approval process is expected to conclude in October.