Dutch biotech Amsterdam Molecular Therapeutics' stock took a hit yesterday after the company revealed it would need additional funding to bridge the gap between Q2 2011--when the company will run out of cash--and late 2011, when AMT hopes to gain regulatory approval of its lead product.
According to a company statement, AMT is on budget. But because it doesn't produce significant revenues, the company is exploring its funding options, including non-dilutive sources such as grants and/or collaborations with partners. It's also tracking opportunities for raising additional capital in conjunction with its bankers.
AMT is counting on gaining EMA approval for its lead product Glybera in mid-2011. The drug treats a rare genetic disorder known as lipoprotein lipase deficiency, which can cause acute pancreatitis, diabetes and even death. Reuters notes that some analysts think the company's application for approval isn't that strong because the EMA has asked for additional data--though not another trial--for Glybera. The company is also developing a pipeline of treatments for hemophilia B, Duchenne muscular dystrophy and Parkinson's, but it notes that aside from its DMD program, expenditure on other projects has been reduced to focus available resources on the Glybera registration process.
- take a look at the AMT announcement
- check out this story on AMT