Paradigm Biopharmaceuticals Ltd (ASX: PAR) shares are jumping higher today after the company provided an update prior to market open this morning. At the time of writing, the Paradigm share price is trading 1.2% higher at $2.50.
What's driving the Paradigm share price?
The Aussie pharmaceuticals group today released a presentation via the ASX summarising its inaugural research and development (R&D) day. Investors were provided with an update on the company's Osteoarthritis (OA) Clinical Program alongside R&D pipeline and revenue timeline progress updates.
Following the release, the Paradigm share price has been on the rise, despite the S&P/ASX 200 Index (ASX: XJO) falling 0.3% lower in today's trade.
Paradigm announced it has received feedback from the European Medicines Agency (EMA) and Food and Drug Administration (FDA). The revised clinical trial program will confirm the minimally effective dose and evaluate increased patient numbers.
Paradigm is looking to confirm its Phase III study and submit its Investigational New Drug (IND) application in the fist quarter of 2021.
Outside of its knee OA application, Paradigm is also exploring opportunities to repurpose its Pentosan Polysulphate Sodium (PPS) drug. The R&D pipeline is focused on the drug's potential to treat heart failure and acute respiratory distress syndrome as well as possible use for alphavirus-induced arthralgia applications.
Investors have been impressed by today's update with the Paradigm share price climbing by as much as 3.2% in earlier trade, despite the broad market softness.
Paradigm indicated a timeline to first revenue for Australia with the company highly confident of receiving global registration once the pivotal Phase III clinical trials are successfully completed.
The company laid out a path to revenue in 2021 while maintaining optionality in future funding and investment decisions.
How have the company's shares performed in 2020?
The Paradigm share price has been under pressure in 2020, having fallen more than 16% in year-to-date trading. However, shares in the pharma group are up over 110% since the bottom of the bear market in mid-March.
The group's market capitalisation has fallen to $577.5 million this year, with the company having traded as high as $4.50 per share in February this year.
