The Imagion Biosystems (ASX:IBX) share price just exploded by 60%. Here’s why

The Imagion Biosystems Ltd (ASX: IBX) share price is rebounding strongly after weeks of severe falls. This comes after the biotechnology and nanotechnology company provided an update on its MagSense HER2 breast cancer study.

During mid-afternoon trade, the Imagion share price is 60.47% higher at 6.9 cents.

What did Imagion announce to make its share price soar?

According to its release, Imagion advises it has completed the evaluation of its first five patients enrolled in the MagSense HER2 breast cancer Phase I first-in-human study.

Imagion said the interim data shows no safety issues reported by patients administered with the MagSense HER2 imaging agent. Primary results indicate that the dosage of the injectable was well-tolerated.

Furthermore, Imagion noted that from observation, the imaging agent reached the lymph nodes.

Imagion Biosystems executive chair, Bob Proulx commented:

We are encouraged by these preliminary observations from our investigators. It is very exciting to begin accumulating patient data and see the positive direction of these preliminary results.

We feel the results from the first five patients provide sufficient justification for us to continue the study.

Imagion plans to move forward by ramping up development and clinical studies that would support regulatory submissions.

Imagion said if one of the imaging methods is proven effective the MagSense HER2 test will be commercialised.

The MagSense test will be used as a non-invasive alternative to biopsies for cancer nodal staging.

More on the MagSense HER2 breast cancer study

The program aims to investigate the use of a MagSense imaging agent to increase the accuracy in detecting a patient’s HER2 breast cancer. More specifically, it looks to see whether the patient’s tumour has spread to the lymph nodes.

Traditionally, the current standard of care involves a biopsy or surgical removal of the lymph nodes to confirm metastases. Approximately half of HER2 breast cancer patients have no nodal disease, allowing MagSense to provide non-invasive procedures in detecting the cancer.

Each patient in the study receives an injection of the MagSense nanoparticle imaging agent and undergoes an MRI. While this occurs, MagSense magnetic relaxometry technology assesses a sample of the lymph node.

Imagion is expecting to enrol a total of 15 participants in the phase 1 study. The aim of the program is to determine the safety and tolerability of the MagSense imaging agent. The company is also exploring the nanoparticles’ effectiveness for in vivo detection.

Imagion share price summary

Over the past 12 months, Imagion shares have lost 57%, with falls of 13.75% year to date.

The Imagion share price reached a 52-week low of 4.2 cents yesterday.

Imagion commands a market capitalisation of $48.21 million and has $1.12 billion shares outstanding.

The post The Imagion Biosystems (ASX:IBX) share price just exploded by 60%. Here’s why appeared first on The Motley Fool Australia.

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Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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