Capital Raises and Clinical Programs Prove the Progress of Citius Pharmaceuticals

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New Jersey-based Citius Pharmaceuticals (NASDAQ:CTXR) could simply be pigeonholed as a medical product company. But that’s an oversimplification. Prospective CTXR stock investors deserve a much more in-depth discussion of this fascinating company.

rows of pills on a table representing pharmaceutical stocks

Source: Iryna Imago / Shutterstock.com

Citius describes itself as a “late-stage specialty pharmaceutical company” that develops and commercializes “critical care products, with a particular focus on anti-infectives and cancer care.”

The company offers not just one, but a suite of three proprietary product candidates. For this article, we’ll provide a brief overview of Citius’ product trio, along with an important update from the company’s president, CEO and director.

Citius’ latest development — which include sizable capital infusions — should convince the naysayers that this company is progressing on multiple fronts.

CTXR Stock at a Glance

First off, though, it’s important to examine this company’s stock. Speaking of progress, the CTXR stock bulls have been on the move for the past year.

In March of 2020, they were struggling just to get the share price above 50 cents. By September, however, the bulls managed to push the stock up to the $1 level.

Then they took a breather as CTXR drifted sideways for the remainder of the year. Yet, as the old saying goes, be right and sit tight. In other words, just hold your shares if you really believe in a company.

That policy paid off as the stock shot up to a 52-week high of $2.90 on Feb. 22. Perhaps that was too steep of a rally, though. By mid-March, the shares had retraced to the $2 area.

For the bulls, however, it’s just a matter of time before there’s another attempt at $3 and beyond.

A Threefold Lineup

Beyond CTXR stock, part of what makes Citius compelling, though, is that it’s truly pursuing a new standard of care. Here are the need-to-know basics about its three product candidates:

  • Mino-Lok: “an antibiotic lock solution used to treat patients with catheter-related bloodstream infections.”
  • CITI-101: also known as Mino-Wrap, CITI-101 is a wrap-able medical “film” that’s intended to “reduce infections associated with the use of breast tissue expanders that are used in breast reconstruction surgeries following mastectomies.”
  • CITI-002: a formulation designed to provide “anti-inflammatory and anesthetic relief to persons suffering from hemorrhoids.”

Currently in a pivotal Phase 3 superiority trial, Mino-Lok appears to be moving the fastest on the regulatory track among these three products. In fact, it has already received a Qualified Infectious Disease Product (QIDP) designation from the U.S. Food and Drug Administration (FDA).

However, CITI-002 is also particularly promising here. Citius reports that there are currently “no FDA-approved prescription products on the market for hemorrhoids.” That could make this company a pioneer in that niche of care.

Critical Updates

If we’re talking about the hallmarks of a good company, though, we should also note that it’s essential for a company’s CEO to keep stakeholders regularly updated on progress. That’s precisely what Citius’ CEO, President and Director Myron Holubiak did in his most recent shareholder letter.

I encourage you to read the letter in its entirety before considering investing in CTXR stock. In it, Holubiak reports that a superiority review of Mino-Lok is expected to take place in the second quarter of 2021.

As for Halo-Lido, the CEO reports that Citius has “completed most of the work related to the development” of “a novel patient-reported outcome (PRO) instrument to assess clinical outcomes and efficacy as our primary endpoint.”

Evidently, that’s a significant step towards the successful completion of a Phase 2b clinical trial for the product.

Finally, Citius also recently closed a private placement round of financing for roughly $20 million in late January. Separately, the company reported gross proceeds of approximately $76.5 million (before fees and expenses) from a direct offering. Certainly, those two developments set the company up well.

The Takeaway

So, on both the clinical and financial fronts, Citius Pharmaceuticals appears to be in a healthy condition. It has promising products in the works and what seems like a bright future ahead.

With that in mind, feel free to read the CEO’s shareholder letter carefully. Then consider taking a position in CTXR stock.

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On the date of publication, neither Louis Navellier nor the InvestorPlace Research Staff member primarily responsible for this article held (either directly or indirectly) any positions in the securities mentioned in this article.

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