Jaguar Health has had swift growth in 2020 as the demand for its Mytesi continues to rise.
The pharmaceutical firm has kicked off the new year in style. Jaguar Health (JAGX) stock soared over 265% in the first week of January. The early-year gains indicate that the penny stock has a long way to go in 2021. The bull run is directing towards a positive trajectory as we move ahead.
Recently, the company announced that it has entered into a definitive agreement to sell its promissory notes worth $6 million to Streeterville Capital—investor. Also, there’s a notable development happening across its novel proprietary drug, Crofelemer. So, 2021 is going to be exciting for Jaguar Health’s stock.
What’s Next?
Jaguar Health is heading in the right direction. The company has been quite active recently. On Jan. 13, 2021, Jaguar announced the purchase agreement for the sale of its common stock shares to its institutional investors. Around 4,437,870 common stock shares were floated at a per-share price of $3.38 that would bring gross proceeds of almost $15 million.
On the very same day, the company also announced a binding agreement of terms for $6 million backed by the sale of tropical disease priority review voucher. Jaguar’s subsidiary, Napo Pharmaceuticals intends to go for an incentive for the development of Napo’s lechlemer drug with the help of this priority review voucher.
On Jan. 19, the company signed a definitive agreement to issue and sell its secured promissory note to Streeterville for a principal amount of $6 million. Jaguar reported that the sale of Note closed on Jan. 19, 2021.
Following the promissory note sale, Streeterville has the right to 18% of the gross proceeds of the review voucher for lechlemer drug. Whereas, Jaguar can redeem the Note at a 12.5% premium after the 6-months—any time.
Moreover, the company is working to obtain conditional marketing authorization in Europe for its novel proprietary drug, Crofelemer. The company wants to conduct the initial study on Crofelemer in a “long-hauler” COVID-19recovery patient population in Europe. Jaguar is looking to accelerate the development and commercialization of Crofelemer as it’s the need of the hour—once it obtains the regulatory approval.
Jaguar Health has another strong product in the market that’s making a lot of revenue. Napo’s product, Mytesi® reported a net sale of almost $2.8 million in Q3 2020, an increase from $1 million in 2019.
Conclusion
Jaguar Health (JAGX) is well-position across different spaces and is making way for its new product, Crofelemer, in Europe. From a penny stock in 2020 to cross the $3 price mark this year, JAGX has shown serious promise. Investors are keeping an eye on the stock; it will be making moves this year. The average trading volume stands around 57.5 million, as we write this. So, some serious bulls are coming Jaguar’s way.
