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On Tuesday, Accentia Biopharmaceuticals (OTC:ABPI) reported that researchers from John Hopkins University have published encouraging results from a two year study evaluating the treatment of aggressive relapsing-remitting multiple sclerosis with their drug Revimmune.

According to the company, Revimmune is:

Accentias patent-pending, novel usage of an approved chemotherapeutic drug (cyclophosphamide) in an ultra-high dose, pulsed intravenous administration for four hours daily over four days. Administered in this fashion, cyclophosphamide acts as a unique stem-cell sparing myeloablative which can reboot the immune system in order to delete the autoimmunity. Furthermore, Revimmune is believed to be the first therapy in development for multiple sclerosis that proposes the restoration of neurological function with the potential to eliminate the autoimmunity.

The most incredible part of the statement is that the drugs seems to restore neurological function. One of the researchers involved in the study, Dr Duglas Kerr of John Hopkins University, had this to report.

I believe our preliminary results in treating MS with Revimmune are unprecedented with an average functional score improvement of about 40% in these patients who were tracked for two years after receiving therapy with sustained restoration of their functional improvement. Of those nine patients, eight of them had failed other therapies, and during the course of follow-up, five of them had no signs of disease activity, and the other four showed dramatic improvement over the course of follow-up.

We look forward to working closely with Accentias team to advance Revimmune into a definitive phase 3 clinical trial, initially for refractory MS, but ultimately targeting a host of other autoimmune diseases as well.

Accentia Biopharmaceutical is trading at $1.11 per share with a market capitalization of $52M.

With a possible new MS treatment that could restore function for the most severely affected patients, the shares look extremely cheap compared to its competitors.

Disclosure: Author holds a long position in ABPI

Source: Accentia Biopharmaceutical's Multiple Sclerosis Breakthrough