In pre-market trading hours on Monday, Anavex Life Sciences Corp. (AVXL) rose 27.96% to $31.67. At the end of the last trading session, AVXL stock price slipped -0.76% to $24.75. AVXL stock price ranged between $24.02 and $25.30.

AVXL traded 2.11 million shares, which was lower than its average daily volume of 3.5 million shares over the past 100 days. In the last five days, AVXL stock has gained 11.79%, while in the last month, it gained 104.38%. AVXL stock is rising after a clinical trial announced improved results.

Which trial did AVXL conduct?

Anavex is a public company that develops differentiated therapeutics to treat neurological disorders and neurodegenerative diseases. This includes Alzheimer’s disease, Parkinson’s disease, Rett syndrome and other diseases related to the central nervous system (CNS), pain and cancer. As a result of a successful Phase 2, a clinical trial for Alzheimer’s disease, ANAVEX2-73 is the lead drug candidate by AVXL.

A phase 2 proof-of-concept study of AVXL’s lead drug in Parkinson’s disease dementia was completed recently, as well as a phase 2 study in adults with Rett syndrome. AVXL believes that the easily accessible predictive biomarker combined with the observed efficacy is a consistent explanation of the efficacy in this second largest CNS indication with unmet medical need.

In a report released today, Anavex reported that the predictive biomarkers of response that correlate significantly with clinical outcomes in clinical efficacy endpoints in primary and secondary endpoints.

• Results came from the proof-of-concept randomized, double-blind, placebo-controlled Phase 2 trial in which 132 Parkinson’s patients were assigned equally to either 30 mg, 50 mg of ANAVEX 2-73 or a placebo.
• In ANAVEX 2-73, the sigma-1 receptor (SIGMAR1) is activated.
• SIGMAR1 activation resulted in the restoration of complete housekeeping functions within the brain and is pivotal in maintaining neuronal homeostasis and enhancing neuroplasticity.
• A recent independent study by AVXL provides more evidence that SIGMAR1 activation is beneficial in compensating for chronic CNS diseases.
• As a result of the easily accessible predictive biomarker coupled with the observed efficacy, AVXL believes that this is the second largest CNS indication where there is unmet medical need.

Anavex announced last week that the previously announced registered direct offering to Deep Track Capital has closed. At $21.00 per share, AVXL plans to issue and sell 2,380,953 shares of its common stock. For AVXL’s offering, HC Wainwright & Co. served as the listing agent.

What AVXL received?

After deducting placement agent fees and other expenses from the proceeds, AVXL received approximately $50 million from the offering. Anavex (AVXL) plans to use sales proceeds from the offering for the advancement of its pipeline, for continuing operations, and general corporate purposes.