What a day it’s been for shareholders of the microcap stock Rich Pharmaceuticals Inc (OTCMKTS:RCHA), who have seen their investment soar 150% this morning following news that the company has received FDA approval for the launch of Phase 1/2 clinical trials to treat patients with Acute Myelocytic Leukemia (AML) and Myelodysplastic Syndrome (MDS). This means that the company can now begin to enroll patients in a phase 1/2 study for their compound called compound RP-323.
“This is a very exciting time at Rich Pharmaceuticals. I am pleased to announce that we have reached our most significant milestone to date,” said Chief Executive Officer of Rich Pharmaceuticals Inc (OTCMKTS:RCHA), Ben Chang. “Our team is enthusiastic with this development and we look forward to considerable advancement as we plan to begin clinical trials in the upcoming year.”
While shares of Rich Pharmaceuticals Inc (OTCMKTS:RCHA) are certainly not scarce, with over 2 billion trading hands today alone, this news is certainly something shareholders have been waiting for, for a long time, from this nearly worthless penny stock. It will be interesting to watch and see if the company dilutes on this news or perhaps lets the stock breathe a bit. With 5.37 billion shares outstanding it may take quite a bit of buying volume to move the stock much further. The stock is currently trading higher by 150.00% or $0.00015 following the positive news, hitting $0.00025 per share at the time of us publishing this article. About 2.00B shares traded hands or up 8299.83% from the average. RCHA has declined 75.00% since May 29, 2015 and is currently downtrending. It has underperformed the S&P500 by 71.94%.
Rich Pharmaceuticals, Inc. is a development-stage company. The company has a market cap of $1.34 million. The Firm is engaged in developing PD-616 for the treatment of Acute Myelogenous Leukemia , and Hodgkin’s Lymphoma (HL). It currently has negative earnings. The Company’s product, PD-616, contains 12-O-tetradecanoylphorbol-13-acetate, a naturally occurring phorbol ester isolated from croton oil.