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VistaGen Therapeutics, Inc. (VSTA) Offers A Unique Form Of Rehabilitation

|Includes: VistaGen Therapeutics, Inc. (VTGN)

It is said that the ultimate goal of social work is simple: to come up with a dependable and cost effective way to rehabilitate society's unproductive members. It's a noble goal and strangely similar to what VistaGen has already accomplished in the world of pharmaceuticals.

VistaGen is a stem cell technology company that has managed to develop a drug testing system unlike any other. Using their proprietary technology, the company has created liver and heart cell based bioassay systems that allow new drugs to be easily and accurately tested for heart and liver toxicity right in the laboratory, well before going through the time and expense of complex clinical trials.

It's a highly cost-effective system that re-opens the door to previously developed drugs that have had to be shelved due to toxicity issues. By using this new efficient testing system, called Human Clinical Trials in a Test Tube, drugs can be tested and, if necessary, modified without breaking the bank. It's an approach that could save the drug industry billions of dollars in wasted expenditures, representing significant revenue potential for VistaGen.

But the new test technology could also allow VistaGen itself to generate a diverse drug pipeline, consisting of new, proprietary, small molecule variants of once-promising drug candidates. This is the company's stated strategy, and essentially represents the rehabilitation of shelved and unproductive drugs.

Together with a medicinal chemistry collaborator, VistaGen is planning to design and generate a portfolio of drug rescue variants of such discontinued drug candidates. They will then develop variants with equal or improved efficacy but with reduced toxicity or metabolism issues. In effect, they will be taking good advantage of the work already done by pharmaceutical companies, by putting the last pieces in place to allow the once unproductive drug to realize its full potential, an example of rehabilitation at its best.

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