PreveCeutical Medical Inc (CSE:PREV) (OTCQB:PRVCF) said Monday that it has extended an agreement with UniQuest Pty Ltd to apply the company’s Sol-Gel nasal formulation technology to develop a potential coronavirus (COVID-19) treatment.
The Vancouver-based company recently announced the successful completion of its cannabinoid Sol-gel program with the University of Queensland and UniQuest Pty Ltd.
The technology works by infusing cannabis extracts into water-based sol-gels, which are delivered using a nasal spray applicator.
“After successful completion of the cannabinoid Sol-Gel program, PreveCeutical has elected to extend the program and apply the Sol-Gel nasal formulation technology to seek to develop a treatment for COVID-19,” the company said in a statement.
Investors responded to the news, sending shares up 9.5% in the OTC Markets to US$0.046, while the stock was trending higher at C$0.06 in Canada.
PreveCeutical said it will provide the CBD extract that researchers have identified as having anti-inflammatory properties, and the potential to “reduce the ability of SARS-CoV-2 to infect nasal mucosa tissue”.
Researchers from University of Queensland will develop the CBD extract into a Sol-Gel nasal formulation to be used with a nasal spray device. The COVID-19 CBD Sol-Gel formulation development is expected to take around three months after the delivery of the of the CBD extract. PreveCeutical will be responsible for pre-clinical testing.
The company will have the rights to the program's intellectual property.
"Our research on incorporating cannabinoid in the Sol-Gel delivery system commenced in July 2017 and recently completed the in vitro proof of concept,” PreveCeutical CEO Stephen Van Deventer said in a statement.
“Having such an opportunity now to develop a CBD Sol-Gel formulation, which could potentially help in COVID-19 exposed patients, is very exciting to us."
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