SquareX Pharmaceutical Corporation Offering Stock to Qualified Investors at $3.00 per share $10,000 Minimum

Reasonable Projection of 100x Return on Investment (We know your B.S. detectors are going off, but we explain and justify the 100x return below)

Only drug that PREVENTS cold sores or oral herpes.  Significant Efficacy in 3 of 3 Clinical Trials

SquareX’s drug SQX770 has been shown to be effective in three out of three clinical trials and has completed a Phase 2 trial. SquareX has completed a successful End-of-Phase-2 meeting with the U.S. FDA with agreement on a pathway to drug approval.
There is no other drug approved or even in clinical trials in the U.S. for prevention of cold sores, also known as oral herpes. Upon approval we expect to have the market to ourselves.
Under reasonable sales projections, upon FDA approval for this drug, investors at $3.00 per share could have a 100-fold or greater return on investment.

Efficacy in 3 of 3 clinical trials: (read more)

Phase 1:

3 times longer time to next outbreak vs. placebo

Phase 2:

  • 2.6 fold fewer outbreaks vs. placebo
  • Significantly less severe outbreaks vs. placebo (0.3 vs. 1.3 on a 0-3 scale)

Mechanism of action trial:

  • More immune cell proliferation to HSV-1
  • Higher interferon gamma expression in presence of HSV-1
  • Significant improvement in expression of 8 other immune genes in presence of HSV-1.

Advanced in  clinical trial process

SquareX has completed a Phase 2 clinical trial in 139 patients and has completed a successful End-of-Phase-2 meeting with the U.S. FDA. We have an agreement on a path to FDA approval. We will conduct a bridging Phase 2 clinical trial to determine the best dose level to use with our planned commercial product of a Band-Aid®-style dermal patch to deliver the drug to a patient’s arm. After that we will conduct two identical Phase 3 trials simultaneously.
SquareX is at an advanced stage of development, and no other drug is even in clinical trials in the U.S. for the indication of preventing cold sores.
SQX770 would be first and only drug approved drug for PREVENTION of cold sores
Huge Market
50 million Americans have at least one cold sore episode each year and 7 million have six episodes or more.

First in class and unique mechanism of action suggests likely efficacy against other diseases.

SQX770 acts by stimulating immune response to the herpes virus that causes cold sores, and by shifting the immune response from a humoral or antibody response to a cellular or T-cell response, which we have shown correlates with fewer cold sore outbreaks in people infected with HSV-1.
It also improves immune response in vitro to yeast.
It acts by causing what is known as a Type IV immune response or a delayed-type hypersensitivity response. No other approved drug acts by this mechanism, so this is first in class.
This mechanism of action of simply stimulating immune response suggests that SQX770 is likely to be effective against many other diseases. We already have evidence suggesting or showing efficacy against yeast and fungal infections, genital herpes, common warts, and molluscum contagiosum, a common viral skin disease.

Patent protection to 2036 (read more)

We have four issued U.S. patents and patent protection in the U.S. and other major markets until at least 2036.

Qualified and experienced team:

Hugh McTavish, CEO, is a Ph.D. biochemist and patent attorney. He invented the SquareX prevention of cold sores by testing it on himself. He is also the founder of IGF Oncology, which he founded with the invention of three targeted cancer drugs and successfully licensed the rights to IGF’s drugs to a third party.
Constantine Kardaras, CFO, is a CPA and MBA and has public company experience with prior biotechs.
Board of Directors includes Dr. McTavish and three directors who are current or former CEOs or CFOs of publicly traded biotechs.

The SquareX drug is just superior to Valtrex® (a billion dollar drug)

  • Prevention is better than treatment
  • More convenient dosing:
Valtrex must be taken within 24 hours of a tingle to have any effect.
SQX770 can be taken any time between or during outbreaks and one dose works for 3 months. It is applied topically to the arm, not to the lip or lesion.
  • Better efficacy:
The only effect of Valtrex is to modestly reduce the duration of a single treated outbreak (from about 10 days to 8 days), and that only occurs if the drug is taken in the first 24 hours of a tingle. It has no effect on frequency or severity of outbreaks.
If you can find another opportunity in gambling or investing where you have a greater than 50% chance of winning and if you win you receive $20 or more for every $1 you bet, you absolutely should take it.

And we think you should take this investment opportunity in SquareX.

SQX770 reduces the number of outbreaks by 2.6-fold and reduces their severity from 1.3 to 0.3 on a scale of 0-3.
  • $3.00 per share = $22 Million valuation of company
  • Net Present Value calculated as $119 Million now
    even with these conservative assumptions:
  • Sales only to people with 6+ outbreaks, and only half of them
  • Only 2 doses per year instead of the recommended 4
  • No sales outside U.S.
  • 30% discount rate
  • 4 years to get FDA approval instead of 3
  • No other indications besides cold sores
  • Only 59.4% chance of FDA approval (the historical average for Phase 3 drugs)
  • Valuation after FDA approval, about $5,500 Million (= 250x current stock price) (includes equal sales in persons with 1-5 outbreaks and equal sales outside U.S.)
  • Valuation with P/E of 10 at peak market penetration = $14,700 Million (=670x current stock price) (includes equal sales in persons with 1-5 outbreaks and equal sales outside U.S.)

Another way to look at this: We have a better than 50% chance of receiving FDA approval. If we get approval, investors should receive at least a 20 to 1 return and potentially 100 to 1 or more.

If you invest, you are betting that we will get FDA approval.

The odds of that are better than 50%. Historically 59.4% of drugs entering Phase 3 trials get approval. We are not quite at Phase 3 trials, but with efficacy shown in 3 of 3 clinical trials and no serious adverse events to date, SquareX’s odds seem at least that good.

If you win that bet, your return is potentially 100 to 1 or greater. The return would appear it has to be at least 20 to 1 under any remotely reasonable sales projections.