Up to $1 Billion in New Credits/Grants for Healthcare
As part of the Patient Protection and Affordable Care Act of 2010, Congress established a program known as the Qualifying Therapeutic Discovery Project (QTDP) to offer tax credits or grants for projects that show significant potential to produce new and cost-saving therapies, support jobs, and increase the U.S.’s competitiveness. Under the program, a total of $1 billion is allocated for credits and grants.
Grants under the QTDP represent an important source of non-dilutive funding for several of our covered companies. Both Advaxis, Inc. (ADXS-OTC.BB) and CorMedix Inc. (CRMD-NYSE Amex) have applied for and received funding under this program, as announced in November 2010.
Advaxis was credited $244,479, which will help support its ongoing Phase II trials of ADXS11-001 in cervical cancer. Advaxis is developing live, attenuated Listeria monocytogenes (Listeria) into safe, effective cancer immunotherapies. Today, the company has nine distinct, cancer-fighting constructs in development with four clinical trials in progress and two Cooperative Research and Development Agreements (CRADA) in place with the National Cancer Institute and the Department of Homeland Security.
CorMedix, focused on preventing and treating cardiorenal disease, was awarded two QTDP grants totaling $488,959 for its Neutrolin® and deferiprone programs. Deferiprone, a generic pharmaceutical available in over 50 countries for removing iron from the body, began a Phase II trial in the U.S. in June 2010. Neutrolin® is a catheter lock solution for chronic central venous catheters (CVCs), which are a type of catheter commonly used by hemodialysis patients. CorMedix is working to submit an Investigational Device Exemption (IDE) application to the FDA for Neutrolin® by the end of 2010.
If you wish to learn more about either Advaxis or CorMedix, please visit our Research Library page for complementary research on both companies. In particular, make sure to download a copy of the 60-page Executive Informational Overview on CorMedix (published in August 2010), which details the company’s business, markets, competitors, and strategies.