Shares of clinical-stage company Matinas BioPharma Holdings (MTNB -3.19%) increased a robust 27.9% on Monday, following news that it won a crucial nod from the Food and Drug Administration.
Matinas said Monday that it received conditional approval from the FDA for the brand name of its leading pipeline drug, MAT9001/Lypdiso. That name has also been accepted via a notice of allowance by the U.S. Patent and Trademark Office, paving the way for Lypdiso to become a registered trademark for the company.
Brand names are crucial for biotechs, as they can very effectively stamp a product onto a consumer's memory and dramatically raise product awareness. Some of the better-named products have been hits due to both their effects and branding -- Pfizer's Viagra is one of numerous examples.
Matinas pointed out that a request for proprietary name review and final approval of Lypdiso is going to be included when the company formally submits its new drug application for the medication.
MAT9001/Lypdiso is an omega-3 fatty acid-based drug that treats cardiovascular disorders. It thus rivals the immensely popular Vascepa from Amarin. Matinas feels its product is superior and "set to become the most effective omega-3 therapy."
This is currently being put to the test in the second of two studies pitting MAT9001 against Vascepa. Data from the study is expected at some point this quarter.