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Neotherapeutics's Shares Double On Results Of Alzheimer's Drug Trial NEW YORK -(Dow Jones)- Neotherapeutics Inc. shares doubled in value Wednesday after the biotechnology company said limited clinical trials of its treatment for Alzheimer's disease produced memory and behavioral improvements. Alvin Glasky, the company's chief executive, said memory improves with just one dose of the compound, called AID-082. "There also have been behavioral improvements, care-givers are telling us. People who didn't speak who are now talking," he added. Neotherapeutic's (NEOT) shares climbed $9.688 to end at $19.25. Volume of nearly 7.6 million shares far outstripped the daily average of about 33,000. About four million people suffer from Alzheimer's disease in the U.S. and at least 11 million world-wide. The company said results of Phase I, or early-stage, trials on 60 patients showed that AIT-082 is orally absorbed, produces no serious side effects over a wide dosage range, remains in the blood long enough for possible once-a-day dosing, and demonstrates a trend for memory improvement. "Every patient who received the drug showed more improvement than those who received the placebo, " the company said. In another trial, AIT-082, which was administered orally or by injection, limited brian damage in animals that had suffered a stroke. The drug limited the damage caused when the brain doesn't receive enough oxygen during the stroke. In that instance, chemicals are formed which destroy neurons, a process known as neurotoxicity. But the compound prevented that process. Last week Neotherapeutics said pre-clinical studies demonstrated that AIT-082 enhances cognitive function and memory in animals with neurological deficits. The treatment works by stimulating genes in brain cells to produce proteins that help regenerate neurons. Glasky said his company was the only one to advance beyond the pre-clinical testing stage for such a drug. Pre-clinical testing is done on animals, while Phase I studies on humans check to see that a compound is safe. Neotherapeutics also said it has a contract with a large European pharmaceutical company, which Glasky wouldn't name, to produce the treatment on a large scale should the Food and Drug Administration eventually give the go-ahead for its commercial use. The company also is in pre-clinical testing of small molecular compounds similar to AIT-082 which could combat severe dementia, depression and weight loss, Parkinson's disease, and migraines. Copyright (c) 1998 Dow Jones & Company, Inc. All Rights Reserved.