Cyclo Therapeutics Receives Buy Recommendation from Frazier, Browne and Mayer's Strategic Allocator, a High Net-Worth Investor Journal
Florida-based biopharma Cyclo Therapeutics (CTDH) received a buy recommendation in the September 30 edition of Frazier, Browne and Mayer's Strategic Allocator, a monthly research and advisory journal for RIAs and high net-worth individuals.
Interview with Chairman & CEO
First OTC Stock Recommendation from Strategic Allocator
In recommending Cyclo Therapeutics' shares, Strategic Allocator cited the company's upcoming Phase III trial of its treatment for Nieman-Pick Disease Type C (NPC), a fatal genetic cholesterol metabolism disease, and the potential for the same drug, Trappsol® Cyclo™, to be used effectively in treating Alzheimer's Disease
This is the first OTC stock Strategic Allocator has recommended its readers buy, according to publisher David Frazier.
Could Cyclo Therapeutics have a Treatment for Alzheimers?
Cyclo Therapeutics has been intravenously administering its proprietary Trappsol® Cyclo™ product to an Alzheimer's patient for more than a year.
In a required annual report to the FDA filed in May 2019, the company reported data that suggests a positive safety profile in the Alzheimer's patient, overall stabilization of disease, and improvement in certain behavioral aspects of the disease. Given that persons with Alzheimer's Disease dementia are generally expected to decline during a one-year timeframe, the results with this patient are extremely promising.
Developing Innovative Treatments for Alzheimer's and Other Unmet Needs
Preparations for Clinical Trials Underway
More recently, the company announced a new collaboration with the Chattanooga Center for Neurologic Research (CCNR) based in Chattanooga, Tennessee.
CCNR is a biomedical research company led by globally recognized vascular neurologist Thomas G. Devlin, MD, PhD. In close partnership with Erlanger Health System and the University of Tennessee College of Medicine, Dr. Devlin has spearheaded the launch of various biotechnology companies whose commercialized products are having widespread impact on neurologic disease.
The collaboration is expected to lead to selection of CCNR and the Erlanger Health System as a site in Cyclo Therapeutics' clinical trial in Alzheimer's Disease, now in the design stage. As a first step in the collaboration, CCNR and Cyclo Therapeutics representatives will exchange confidential information on priority scientific topics and clinical capacity.
Strategic Allocator, which recommended its readers buy Cyclo Therapeutics shares at up to $0.25 for a potential "exponential increase in the price of the company's stock - an increase of up to 30 times its current price, or potentially even more than that, within the next five years," isn't the first outsider to understand the opportunity with Cyclo Therapeutics.
Board Members Invest $10M+ into Cyclo Therapeutics
Board members at Cyclo Therapeutics, including multiple outside directors, have invested more than $10 million into the company in recent years, including more than half a million shares purchased this summer alone.
Board member Markus Sieger, President and CEO of Polpharma Group, purchased 100,000 shares in August, increasing his total position to more than 4.5 million shares. Polpharma is among the top 20 generic drug manufacturers in the world. Its portfolio includes about 600 products and another 200 in development.
Patrick Ostronic, an officer of US Pharmacia International and CFO of its parent company, The USP Group, personally purchased 350,000 shares of CTDH in the weeks following the company announcing its plans to launch an Alzheimer's trial. As of the latest filing, Ostronic himself owned more than 1.3 million shares of CTDH. USP has been a trendsetter in the OTC medicine market for over 20 years and is currently the leading company in the OTC sector of the Polish pharmaceutical market, employing around 700 people across Eastern Europe and the United States with a portfolio of more than 100 products.
Former President & COO of Colgate-Palmolive Owns 2.5M+ Shares
Also serving on CTDH's board is William Shanahan, the retired President and COO of Colgate-Palmolive. Shanahan joined CTDH's board in 2016 and now owns more than 2.6 million shares of CTDH as of the latest filings, which include his 800,000 share purchase in May 2019 and his purchase of 415,000 shares in August and September 2019.
Board Members See Long-Term Potential
We spoke with one of these board members, Markus Sieger, to learn more about his involvement in Cyclo Therapeutics.
Sieger first learned of Cyclo Therapeutics from long-time acquaintance and Chairman and CEO of the company, Scott Fine.
Commenting on why he first got involved in Cyclo Therapeutics, Sieger stated, "First, I looked at the technology and was impressed with the results in treating the Hempel twins' Niemann Pick Type C disease. There was simply no treatment for Niemann Pick disease prior to our drug. The fact that these twins were kept alive with good quality of life until years beyond their normal disease progression would suggest I found astounding."
Sieger has been a director of the company since February 2014. Since June 2016, he has been the President and CEO of Polpharma Group, one of the leading pharmaceutical generics companies operating in the Central and Eastern Europe region.
"I also like the fact that Scott Fine, the CEO, has surrounded himself with seasoned professionals and investors," continued Sieger. "The confidence that US Pharmacia has invested just under $5 million in the company and to have Armistice as a recognized healthcare investor in the latest round is helpful. The Alzheimer's program indicates our capacity to expand our clinical programs utilizing our science and knowledge of cyclodextrins."
"All of us understand that Biotechnology investing is a risk, we at CTD understand this, we see the potential opportunity as well," concluded Sieger.
Learn more about CTDH, its work in Alzheimer's, and its clinical trials for NPC, by visiting http://www.ctdhinfo.com/article.
For a brief overview of Cyclo Therapeutics, watch this video: youtu.be/LgX5PjzLa2s.