Macrocure Ltd (NASDAQ: MCUR) is in the process of analyzing strategic options for its future. The management of the company reached the decision after the company failed to hit the primary endpoint in a late-stage study of its lead wound therapy called CureXcell in the U.S. So, what options are under consideration?
Management of Macrocure Ltd (NASDAQ: MCUR) is considering at least three strategic alternatives. One of those alternatives is investing in a promising company or technology. The other option is merging with another entity. The third option is acquiring a promising asset. No matter what Macrocure ends up doing, the bottom line is that it should help the company get over its failed Phase III trial of CureXcell.
Can the company afford it?
With more than $25 million in cash, Macrocure Ltd (NASDAQ: MCUR) can afford to lay its hands on some small assets or enter into a strategic partnership that could help it get back on the path to creating value for shareholders.
Macrocure Ltd (NASDAQ: MCUR) reviving failed CureXcell program?
The other option that Macrocure Ltd (NASDAQ: MCUR) could pursue is reviving the failed CureXcell program. However, there are doubts as to whether lenders and investors would be willing to support the idea of reviving the failed lead candidate. Macrocure needs to get the backing of shareholders and lenders to get back on the CureXcell program because the nearly $25 million in cash it has isn’t adequate to bankroll the program.
What about CureXcell?
If Macrocure Ltd (NASDAQ:MCUR) had succeeded in the Phase III study of CureXcell in the U.S., it would have opened a massive revenue opportunity. The candidate is designed as a regenerative treatment for wounds and it is particularly aimed at patients afflicted by diabetes foot ulcers. The therapy features living human white blood cells to aid in the wound healing process. The formulation also contains stimulated wound closure. Macrocure’s programs are targeted at unmet treatment needs.