Kannalife eyes share go with the flow to fund cannabis-based remedy

Kannalife Sciences Inc is thinking about an initial public supplying this 12 months to fund development of a hashish-primarily based treatment for a brain ailment that impacts 200,000 individuals, its leader government stated.

A a hit list in an unforgiving IPO market could be a springboard for the Huntington, ny-based totally agency to expand an experimental drug that has shown promise in treating a condition known as hepatic encephalopathy (HE).

"we have a terrific shot on purpose with HE," said Dean Petkanas, Kannalife's CEO and co-founder. "We want to shoot the percent. If we do that and we rating, then our other desires inside the discipline of cannabinoid therapeutics can emerge as self-obvious."

approximately 1.5 million americans suffer from HE, a decline in brain feature that outcomes from excessive liver disorder, whereby toxins increase within the bloodstream. approximately 200,000 human beings have late level, or Grade 3, HE, according to Kannalife.

Kannalife's HE drug, KLS-13019, is derived from artificial cannabis. Preclinical records posted this month confirmed it to be more secure and considerably stronger than pure cannabidiol in protective brain cells.

"We accept as true with we can push KLS-13019 into medical trials, however first we need to raise capital," Petkanas, who has more than 25 years' experience in investment banking and capital markets, stated in an interview.

Kannalife, founded in 2010, raised $1.5 million in a first spherical of funding 3 years in the past. It ambitions to elevate $5 million to $10 million in a second round inside the next 90 days.

that might be enough to look the business enterprise proceed to clinical trials through the primary zone of 2017, Petkanas stated.

Kannalife would then don't forget an IPO, a ambitious pass at a time while biotechnology stocks are reeling from political grievance of drug charges. The Nasdaq Biotechnology index had fallen almost 24 percent this 12 months through Wednesday's near.

greater commonly, a tepid U.S. marketplace for IPOs has raised simply $253 million so far this 12 months, as compared with $4 billion inside the corresponding 12 months-in advance length.

"we are throwing the ball within the air proper now, due to the fact the dynamics of the market have modified appreciably inside the final six months," said Petkanas.

in addition to its HE drug, Kannalife is accomplishing a feasibility study into the development of a preventative treatment, also derived from synthetic cannabis, for chronic traumatic encephalopathy (CTE).

CTE is a brain condition because of repeated blows to the top, that is poorly understood and has no present treatment. A sure-shot diagnosis can best be made after death.

For this have a look at, Kannalife has procured a allow from the U.S. Drug Enforcement administration to import a limited quantity of pure cannabidiol, a non-psychoactive issue of the hashish sativa plant.

John Kagia, director of enterprise analytics at cannabis-centered records company New Frontier, stated the drug had considerable ability due to the volume to which CTE has grow to be an difficulty for soccer gamers and the navy.

"The a success deployment of hashish inside those  communities could be a watershed moment in the manner the overall population thinks about the healing programs of marijuana," he stated.