The best part about this study was the validation for RXI-109 because now Rxi Pharmaceuticals can move on to target other eye indications like PVR -- retinal detachment scarring of eye, Retinoblastoma -- eye cancer in children under the age of 15, macular degeneration -- vision loss in elderly, and any other possible eye candidate. As mentioned above RXI-109 is also being used for hypertrophic scars and keloids but may also show remarkable use in a big area many pharmaceutical companies want to target which is liver fibrosis. Yes RXI-109 can even be used for liver fibrosis which in itself can be a $1 to $2 billion dollar market.
What validates Rxi's ophthalmology pipeline even more is the deal the company was able to achieve with Lincoln Park Capital. The deal called for LPC to purchase an aggregate of $20 million dollars worth or Rxi's common stock over a 30 month period. This purchase agreement was built to help fund Rxi's pre-clinical ophthalmology pipeline. LPC immediately purchased 500,000 shares of Rxi's common stock at $4.00 per share. Also when ever RXi reaches the ability to file an IND application for each ophthalmologic product LPC expects to purchase $1 million dollars worth of Rxi stock at prevailing market prices. For example that means if the share price at that later point is up in the $10 per share range or higher LPC has to purchase stock at that price. This huge capital flux is just another validation for the company and its ability to revolutionize the ophthalmology space and other unmet medical needs. With the eye indications along Rxi Pharmaceuticals could be looking to become the next Regeneron Pharmacetucals (NASDAQ:REGN) or even better as the company is also targeting liver fibrosis and scarring.
