Immune Pharmaceuticals Inc (NASDAQ:IMNP) Wants A Partner

Immune Pharmaceuticals Inc (NASDAQ:IMNP) just announced that it has appointed a new chairman of its board of directors, but the company has remained relatively flat on the release. Markets seem to have overlooked the appointment, not just from the perspective of a fresh board hire, but also what specifically this hire means for the company going forward. In turn, we think this ignorance is an opportunity to get in ahead of wider markets buying into the stock on a speculative exposure.Here is a look at why we think this, and what we are looking for as confirmation of our expectations.First, a quick introduction to the company.Regular readers will know this is one that we cover quite frequently, and that we actually looked at the company recently as part of this coverage. As a top down description of what Immune does, the company is a biotechnology entity working to develop drugs in two distinct (but often interrelated) areas of therapy – inflammation and oncology. Its lead candidate is called Bertilimaub, and it's currently under investigation in two primary indications – bullous pemphigoid, and ulcerative colitis. The drug is a first-in-class monoclonal antibody designed to block a protein called eotaxin-1, which is responsible for causing inflammation in a significant number of diseases. Blocking the protein inhibits the process through which the inflammation occurs, and – in theory at least – should by proxy reduce the severity of the conditions associated with the inflammatory process.That's the theory, and so far, there's quite a lot of evidence backing up both efficacy and tolerability for the drug in both of the above mentioned indications.The oncology side of the company's pipeline is spearheaded by a drug called Ceplene, which is currently approved in Europe and Israel, and – if all goes to plan – should be approved in the US sometime over the next 24 months. That is, assuming the company can carry the drug into a pivotal trial near term.That's the company covered, what about the latest announcement?As mentioned, it relates to a new board appointment. Specifically, the company has appointed Ranch C. Kimball, a highly regarded executive in healthcare, government, and private equity, as Chairman of its Board of Directors. Kimball has worked on both the government and the private industry side of the healthcare industry as part of a long and established career in the space, and from a leadership perspective, should serve as a real asset for Immune. There is a specific element of the appointment, however, that we are zeroing in on as indicative of his likely major impact, and – in turn – a driver of potential upside momentum going forward. Take a look at the quote below from Daniel Teper, Chief Executive Officer of Immune, taken from the press release announcing Kimball's appointment:

"His reputation in government and private equity make Ranch a key asset for us as we grow to new heights. The focus will be on unlocking the value of our pipeline through attractive partnerships for Immune."

When a biotechnology company has an asset, or as is the case here, a number of assets, in late phase 2 studies, or about to move into pivotal studies, said company is primed for partnerships. This is when the big-names start to take notice of development stage drugs, and when they start bidding on an exposure to the drug in anticipation of approval. It goes without saying that any partnership can impact a company the size of Immune's valuation dramatically. Why? Because capital is key at this stage of the game, and this sort of partnership deal nearly always involves an injection of upfront capital with which the developer can fund the pivotal trial (or a direct funding commitment).So what does this mean? Well, we're looking for any announcement that details the initiation of said partnership as an immediate upside driver.We will be updating our subscribers as soon as we know more. For the latest updates on IMNP, sign up below!Disclosure: We have no position in IMNP and have not been compensated for this article.