When traders think of post-surgical wound management stocks, they may first think of names like Cytomedix, Inc. (OTCBB:CMXI) or Alliqua Inc. (OTCMKTS:ALQA). And well they should. Both companies have something of a history in the arena. ALQA is the purveyor of SilverSeal and Hydress antibiotic bandages, while CMXI is the developer of the AutoloGel system, which induces an affected patient's on body to do what it's supposed to do if there's a wound that won't heal. Cytomedix also makes the Angel platelet-rich plasma (PRP) delivery system. There's a relatively new name to add to the list of game-changing stocks in wound-management industry, however.... Arch Therapeutics Inc. (OTCBB:ARTH). The company is developing - well, has developed - a product called AC5 that nips post-surgical bleeding in the bud, largely negating the need for other post-surgical bleeding-control measures.
Just for the record, Cytomedix, Alliqua, and Arch Therapeutics aren't necessarily direct competitors.... at least not yet. They aren't exactly working together either, though. All three are aiming to safely and effectively help patients prevent wounds (whatever the cause) from remaining open, bleeding, and inviting potential infection or other complications.
ALQA, through SilverSeal, and CMXI, through AutoloGel, prevent open wounds from remaining open and prone to infection by being applied externally. Both systems can be used for a variety of wounds, including post-surgery openings. Right now, ALQA, through AC5, is only targeting post-laparoscopic surgical wounds... from the inside! AC5 is, in simplest terms, a powder that turns into a durable gel that can envelope the area or organ where surgery is to be done. It's firm enough to remain in place and stop bleeding, but soft enough for surgeon to slice through. Once it's been sliced, it can re-adhere to itself.
And that's when the potential of AC5 really comes to light. The wound-envelope can be applied before surgery is actually started. It 'sets up' in a matter of seconds (as opposed to minutes for other hemostasis options that don't work as long), and last for weeks. That means a surgery leads to a very minimal loss of blood, as any bleeding resulting from a sliced vein is almost immediately halted before it has a chance to begin. Less bleeding from a surgical site means less seepage into the wound on the skin that is necessary to perform surgeries... even laparoscopic ones.
For the time being, Arch Therapeutics is only testing AC5 on select laparoscopic procedures. But, open surgical procedures are on the radar. The gel-like substance would certainly work as well in open surgery applications. It's completely transparent, and can confirm to unusual and changing body and wound shapes. When that use makes its way onto the radar - and that's not apt to be too far down the road - that's when companies like Alliqua Inc. and Cytomedix, Inc. do need to start worrying.
In the meantime, small cap speculators owe it to themselves to put ARTH on their radar. It's a new name because it's a relatively new company. The underlying technology is bound to draw attention soon, however, as clinical testing and other milestones begin to be reached later this year and next year; there's nothing else out there quite like it. These milestones all have the potential to be stock-moving catalysts.
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