PTN stock soared as much as 28% in early session on Monday after the United States Food and Drug Administration granted marketing approval for Palatin Technologies’ (NYSE:PTN) Vyleesi.
Key Development for Amag and Palatin Technologies
‘Female Viagra’ or a medicine that is supposed to treat loss of sexual desire in premenopausal women has been in the works for quite some time, and despite many attempts by a range of companies, no great breakthrough has taken place thus far.
However, it all changed on Saturday when it emerged that the drug regulator in the United States has approved the woman’s sexual drive restoring product that has been produced by AMAG Pharmaceuticals, Inc. (NASDAQ:AMAG) and Palatin Technologies. It is a significant development in this particular niche, and if the medicine proves to be effective, then it could help in capturing a major chunk of a market that could generate sales of $1 billion a year.
The name of the medicine in question is Vyleesi and will be in competition with only a few products. Chemically, it is known as bremelanotide and is known for stimulating those parts of the female brain that govern sexual desire. Its main competitor in the market is going to be Addyi produced by Sprout Pharmaceuticals, which was approved four years ago and is supposed to be used once every day by women. Although Vyleesi has received approval, it will not be until September this year that it is going to be made available to a select group of medical stores.
PTN stock is trading higher by 28% to $1.70. Also, AMAG stock is up 5% at $9.42.
Advantage of Vyleesi
One big advantage that Vyleesi has over Addyi is the fact that it does not bar the patient from consuming alcohol while being under medication. Additionally, it does not need to be consumed every day and is known to produce only mild side effects when compared to Addyi.
Last but not least, Vyleesi seems to take effect far more quickly. Vyleesi is not a pill but a solution that has to be injected into the abdominal area or in the thigh around 45 minutes before any acts of sexual nature.
PTN stock made a new 52-week high of $1.78 in today’s session. The stock has gained over 110% so far this year.
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