Health Check: Good golly Miss Molly! Emyria says Ecstasy works for PTSD, months after treatment

Psychedelic drug developer Emyria says the use of MDMA (Molly, or Esstacy) has a lasting effect for post-traumatic stress disorder sufferers

Emyria flags MDMA as an effective treatment for PTSD, but there's more work to do. Pic via Getty.

• Emyria says its 'real world' MDMA trial shows a “sustained improvement” in post-traumatic stress disorder (PTSD) symptoms

• Argenica says its traumatic brain injury candidate works in rats – and ferrets

• The biotech sector advanced to record levels in January

Shares in psychedelic drug developer Emyria (ASX:EMD) today leaped 14%, after the company said its MDMA-based therapy continued to reduce the symptoms of the hard-to-treat post-traumatic stress disorder (PTSD) three months after treatment.

MDMA is more commonly known as Molly, or Ecstasy.

On September 2 last year, the company reported “clinically significant results” from the first eight patients enrolled in its ‘real world’ trial based in Perth.

The company now says that having been treated for up to 16 weeks, these eight patients continued to show a “sustained and clinically significant reduction” in PTSD symptoms.

The patients also fared well on a separate quality-of-life measure.

Emyria lead psychiatrist Dr Jon Laugharne says these “sustained benefits” suggest that MDMA-assisted therapy "has the potential to create lasting impacts for individuals who have struggled with severe and treatment-resistant PTSD.”

Lasting six to 16 weeks, Emyria’s program involves 90 or more hours of  therapy, including screening, preparation and supervised dosing.

The average treatment spans 106 days.

The company has started treating five more patients and plans to enrol up to 70.

PTSD affects between 7% and 11% of adults, with many patients experiencing limited relief from existing treatments like antidepressants and cognitive behavioural therapy.

The company reckons 800,000 Australians could benefit from MDMA-assisted therapy.

Argenica claims squeaky-clean TBI results

Still on neurological disorders, Argenica Therapeutics (ASX:AGN) says a preclinical rat study showed its peptide drug candidate ARG-007 offered “significant neuroprotection” against traumatic brain injury (TBI).

The study assessed key markers of axonal (nerve cell) injury and  neuroinflammation, following moderate TBI.

Importantly, the biomarker levels of axonal injury and neuroinflammation following ARG-007 treatment were equivalent to those of non-injured animals.

The ARG-007 -treated rodents also showed several signs of improvement in a motor function and behavioural test, as well as significant weight loss.

The next Ozempic perhaps?

In alliance with the University of Adelaide and Curtin University, the company will finalise larger studies in rats and ferrets.

Biotech sector defies the gloomsters

Beachgoers were not the only ones to sizzle in January.

The ASX biotech sector pushed to record highs in the holiday month, with some notable stocks then recording follow-up stellar gains in Monday’s otherwise manky trading.

Biotech Daily’s index of the top 40 stocks (give or take) rose 11% for the month, to a combined market cap of $25.8 billion.

This excludes ProMedicus (ASX:PME), which was promoted to the ‘big caps’ category that includes CSL (ASX:CSL), ResMed (ASX:RMD) and Cochlear (ASX:COH).

These big caps rose 3.5%.

The best winners (as measured by market cap gains) were Medical Developments International (ASX:MVP) (up 63%), EBR Systems (ASX:EBR) (61%) and Paradigm Biopharmaceuticals (ASX:PAR) (56.2%).

Then followed Cyclopharm (ASX:CYC) (40.3%), Dimerix (ASX:DXB) (32.1%) and Opthea (ASX:OPT) (28.5%).

Thanks to a January 8 profit warning, Avita Medical (ASX:AVH) led the falls with a 30% decline followed by Aroa Biosurgery (ASX:ARX) (down 25%) and MedAdvisor (ASX:MDR) (18%).

On Monday – February's first trading day – Medical Developments shares defied the market rout and soared a further 24%.

Blinklab (ASX:BB1) and Alterity Therapeutics (ASX:ATH) shares shot up 26% and 27% respectively on no immediate news.

Investors have been waiting for a turnaround at Medical Developments, which sells the long-standing front-line relief Penthrox (aka ‘the green whistle’).

On Friday, Medical Developments' December quarter statement reported revenue of $10.9 million, 19% higher than the September quarter.

The company has a patchy earnings record, but pundits also would have latched on to the $1.92 million of positive cash flow, compared with a previous $2.67 million deficit.

Oncosil improves its Germanic pay prospects

OncoSil Medical (ASX:OSL) shares this morning soared 40% on news we would categorise as ‘dull but worthy’ – and we won't argue with the market.

Oncosil says the German Institute for the Hospital Remuneration System has authorised 120 hospitals to negotiate funding with the health insurers to cover Oncosil's eponymous device, compared with 84 hospitals previously.

Oncosil is making a Big Push into Europe with the device, which delivers targeted radiation directly to inoperable pancreatic tumours.

And is Germany a key market for the company? Hell ja.

Oncosil’s Berlin-based  CEO Dr Nigel Lange says the “important  milestone” reflects the growing acceptance of the device by Teutonic healthcare professionals.

The device is approved in Europe and the UK and has breakthrough device designation in the US.

Overall, the device approved for sale in more than 30 countries, including Turkey and Israel.

Capital raising corner

The developer of portable X-ray technologies, Micro-X (ASX:MX1) has requested a voluntary suspension of its shares until Monday, pending a capital raising.

The stock had been on trading halt, pending an announcement by today but shaking the tin evidently has taken more time than expected.

Micro-X shares have surged 30% since the company's December 4 revelation of US$8.2 million development contracts with the US Advanced Research Projects Agency for Health.

This compact is to develop a full-body portable computed tomography (CT) the scanner over two years.

The agency also has the option of injecting a similar amount to take the device to the US Food and Drug Administration for approval.

Meanwhile, Paradigm has taken a more novel approach to fundraising with a proposal to issue loyalty and ‘piggyback’ options to existing holders, which could raise up to $112 million.

Investors will receive one ‘loyalty’ for every four shares held, exercisable at 65 cents within the next year.

Investors also get one ‘piggyback’ option for every two ‘loyalties' held, exercisable at $1 by February 2028.

If the options become ‘in the money’, they are a funding source for the company’s planned phase III knee osteoarthritis trial. The stock traded at 58 cents this morning, so is not too far off the strike price for the 'loyalties'.

At Stockhead, we tell it is as it is. While Paradigm, EBR, Dimerix, Aroa and Blinklab are Stockhead clients, they did not sponsor this article

Originally published as Health Check: Good golly Miss Molly! Emyria says Ecstasy works for PTSD, months after treatment