TSX Update: IntelGenx, Hut 8 and VIQ Solutions lead the way

Shares of recent Venture Exchange graduate IntelGenx (IntelGenx Stock Quote, Chart, News, Analysts, Financials TSX:IGX) are pacing the big board today in Toronto, adding 29.4 per cent as of press time. The company, which has a long history of making pharmaceutical films to deliver various forms of treatments, recently announced that it will resume its Montelukast VersaFilm phase 2a (BUENA) clinical trial in patients with mild-to-moderate Alzheimer’s disease, following Health Canada’s issuance of a no-objection letter in response to IntelGenx’s amended clinical trial application.

IGX had disclosed in the first quarter of the this year that it had received Health Canada approval to continue the trial with higher doses, owing to the fact that its patient group was at higher risk of severe illness from COVID-19.

“As treatment options remain limited, and no approved drugs are disease modifying, we are very excited to resume this trial and evaluate the potential of Montelukast as a much-needed treatment for AD patients,” said CEO Dr. Horst Zerbe. “We are in the fortunate position that the convertible notes offering that closed in Q3 2021 provided us with the dedicated financial resources required to complete this important study and expect to resume patient screening activities as soon as practicable this month.”

Late in March, Leede Jones Gable analyst Douglas Loe predicted the success of the stock. The analyst said Loe said IGX’s clinical prospects for a montelukast VesaFilm trial with patients with mild to moderate Alzheimer’s “remain strong in our view.”.

Also posting gains on the TSX Friday were digital currency miner Hut 8 Mining Corp (Hut 8 Mining Corp Stock Quote, Chart, News, Analysts, Financials TSX:HUT), which was up 12.5 per cent to $14.68 and VIQ Solutions (VIQ Solutions Stock Quote, Chart, News, Analysts, Financials TSX:VQS), which was up 14.1 per cent on the back of an announcement regarding its expectations for 2022.

VIQ management said it is on track to generate at least $50 million in revenue with 47%-55% gross margin and 10%-20% adjusted EBITDA margin by the end of fiscal 2022.

“”With several of our large Legal Court and Law Enforcement clients in Australia operating at 50% of normal capacity due to the prolonged shutdowns, the last three months have been a particularly challenging period from an operations and capital markets perspective. However, we believe we have managed through the pandemic well, fortified our balance sheet, and taken the steps necessary to execute our roll-up strategy and long-term growth plan, despite global M&A delays due to COVID-19 and international travel restrictions. We are in a strong position from a competitive standpoint and are rolling out FirstDraft, powered by AI, which will drive our revenue mix toward a more scalable, higher margin SaaS model,” said CEO Sebastien Pare.

Overall, the Toronto Stock Exchange was up 95.51 points to 20,915.45 at press time.