The biotech sector struggled throughout the latter half of 2016, as markets priced in expectations of a Democratic term in the White House, and what this might mean for drug pricing. Forced lower pricing would reduce big name investment, and this could hurt the smaller companies’ potential to expand into the commercialization phase. With Trump set to take the helm, this fear is allayed (at least for now) and this transaction illustrates this fact.
In a just published Form 13, filed with the US Securities and Exchange Commission (SEC), Protokinetix Inc. (OTCMKTS:PKTX) reported that Young Lachlan Grant has picked up 22,850,000 of common stock as of 2017-01-05.
The acquisition brings the aggregate amount owned by Young Lachlan Grant to a total of 22,850,000 representing a 9.0% stake in the company.
For those not familiar with the company, ProtoKinetix, Incorporated is a research and development-stage bio-technology company. The Company is focused on scientific medical research of Anti-Freeze Glycoproteins (AFGPs) or anti-aging glycoproteins, known as AAGPs. AFGP is found in nature as a compound produced by some fish, insects, reptiles, bacteria and plants that enable survival in freezing temperatures. Health Care Applications of AAGP fall into various categories, such as harvesting, storage and transplanting cells, tissues and organs, and treatments for conditions and diseases caused by stress factors, including ultraviolet (UV) radiation, oxidation and inflammation. The Company is engaged in preparing to start Phase I and Phase II human clinical trials at the University of Alberta.
A glance at Protokinetix Inc. (OTCMKTS:PKTX)’s key stats reveals a current market capitalization of 12.37 million based on 227.45 million shares outstanding and a price at last close of $0.054 per share.
Looking at insider activity, there are a few transactions worth noting.
Specifically, on 2016-12-20, Smith picked up 4,000,000 at a purchase price of $0.04. This brings their total holding to 53,070,500 as of the date of the filing.
It’s possible to gauge a company’s potential by tracking the activity of its major holders, as well as checking in on insider activity such as those transactions listed above. We’ll be keeping an eye on Protokinetix Inc. (OTCMKTS:PKTX) as things move forward to see if its progress aligns with these transactions.
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