Check Up: Avecho leads the ASX healthcare stocks with progress on Propofol
Health & Biotech
Health & Biotech
It’s been a busy time in the ASX healthcare sector, with annual general meeting season, vaccine news and a number of company announcements.
Here’s our fortnightly wrap of all the news driving ASX health stocks.
Fifty-three companies have gained ground over past month (October 11 through November 11), five have been flat and 69 have retreated.
Avecho Biotechnology (ASX:AVE) has been the biggest gainer, its shares doubling from 0.7c to 1.4c after the company announced its reformulated Propofol infusion formulation had passed a critical milestone by passing a safety study in rats. Propofol, a general anaesthetic made infamous by its involvement in the death of Michael Jackson, is used for sedation in surgeries.
Avecho’s Japanese partner pulled its support last year after studies showed the reformulated Propofol wasn’t safe to use over a 24-hour period; Avecho has now optimised the formula so that it appears to be.
The company’s shares still haven’t recovered from losing a multimillion arbitration case in November 2018 against pharma giant Mylan (back when Avecho was known as Phosphagenics), but they’re up 250 per cent over the past 12 months.
Global Health (ASX:GLH) shares have gained 78 per cent over the month after the digital health record company announced a partnership with Asthma Australia involving its Lifecard consumer health platform.
Neurotech (ASX:NTI) has been the third-biggest gainer in ASX healthcare stocks over the 31-day period, with NTI shares up 69 per cent to 2.5c. The company recently pivoted to the medical cannabis space and has a new chairman, ResApp founder Brian Leedman.
Race Oncology (ASX:RAC) took the four-spot with a 65 per cent rise. Its shares are up 928 per cent over the past 12 months, by far the best performance in the healthcare sector. It got a boost earlier this month after announcing that phase 2 study data of its anti-cancer drug would be presented at the American Society for Haematology’s annual conference.
On the flip side, Alterity Therapeutics (ASX:ATH) has been the biggest loser, declining 49 per cent to 2.55c after raising $35 million at a 25 per cent discount. Those shares were issued at 3.7c, so whoever is holding them is underwater. The money will be used to fund clinical development, including two studies of possible treatment for Multiple System Astrophy (MSA).
Respiri (ASX:RSH) has declined 32 per cent this month, although its shares are still up 142 per cent for the last six months and 70 per cent for the last 12.