The Alterity Therapeutics Ltd (ASX: ATH) share price has continued its strong surge from yesterday, trading more than 50% higher again today.
Although the company has not released any price sensitive news, it can be assumed that the price leap is a reflection of yesterday's news.
What did Alterity announce yesterday?
Alterity's announcement yesterday highlighted independent data that confirmed the safety profile of the company's lead drug candidate, ATH434. The animal study tested ATH434 against multiple system atrophy (MSA) and confirmed that the drug reduced alpha-synuclein pathology, preserved neurons and improved motor performance in patients with MSA.
Alterity will present the findings at the 2020 International Congress of Parkinson's Disease and Movement Disorders and the American Neurological Association's annual meeting. The company will also present cardiac safety data from its Phase 1 study of ATH434. This will be the first time that information is shared with international clinicians and researchers.
What is the outlook for Alterity?
Biotech company Alterity focuses on therapies for neurodegenerative diseases such as MSA, which is an atypical form of Parkinson's disease that can lead to rapid motor degeneration and paralysis.
Alterity's lead candidate, ATH434, is an orally bio-available, brain penetrant that's designed to inhibit the accumulation of pathological proteins involved in neurodegeneration.
As a result, Alterity's therapy has the potential to treat Parkinson's disease and other atypical forms of the disease such as MSA.
According to Alterity's management, there is an unmet medical need for new treatments for MSA with most symptoms of the disease remaining unaddressed by available drugs for Parkinson's disease.
Alterity is now pursuing a global development strategy for the testing and commercialisation of the drug, after last month announcing it had established a development pathway for ATH434 in MSA with the US Food and Drug Administration.
The Alterity share price has surged more than 96% in the past 2 days, after rocketing a further 50% today. At the time of writing, the Alterity share price is trading near it's intraday high of 7.2 cents.
