What happened
Shares of clinical-stage company Matinas BioPharma Holdings (MTNB -4.58%) increased a robust 27.9% on Monday, following news that it won a crucial nod from the Food and Drug Administration.
So what
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.
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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.
Now what
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.
