Boston Therapeutics, Inc.
Chairman, CEO, CFO and Director: David Platt
About: Boston Therapeutics, Inc. (OTCQB: BTHE) is a pharmaceutical company focused on the development, manufacturing and commercialization of novel compounds based on complex carbohydrate chemistry to address unmet medical needs in diabetes.
WSR: Good day from Wall Street, this is Juan Costello, senior analyst with the Wall Street Analyzer, joining us today is David Platt, CEO, Chair and CFO for Boston Therapeutics. The company trades on the OTCQB, ticker symbol is BTHE. Thanks for joining us today David.
David Platt: Thank you for having me.
WSR: Any time, now. Starting off please give us a brief history and overview of the company for some of our listeners that are new to your story.
David Platt: Boston Therapeutics is a carbohydrate — complex carbohydrate chemistry research company. We just finished and announced our phase II clinical trial and we are gearing for phase III clinical trial. The company announced the data and we are basically a carbohydrate chemistry based lab development company. The company is right now doing research — clinical trial research on a drug called PAZ320. What the drug does is it blocks the enzyme in the intestines and as a consequence when people who eat it will block the amount of sugar that goes into the blood and basically doesn’t let the glucose or the sugar in the blood going up. Also the company has another drug, which is called Ipoxyn and acts as a drug to carry oxygen, as an anti-necrosis drug.
WSR: Great, and so yeah, what were some of the positive phase II results that you had on PAZ320?
David Platt: The results in the phase II are excellent. We were very pleased showing that we have 40% in average reduction of blood glucose in type 2 diabetics or people with diabetes. Those type 2 they don’t make enough insulin and they have a problem when they eat, the blood glucose goes up and we showed that we reduced it by 40%. Actually we don’t reduce it; we don’t let it go up, but we measure that as reduction and we are very pleased with the data we have to date. The results by the way were achieved in Dartmouth Medical Center in New Hampshire which is a very respected college — medical college and well known for many years and we published the data in a peer review journal.
WSR: Great and so yeah what are some of the current trends that you are seeing in this sector and how are you positioning the company to capitalize on them?
David Platt: We are in the area in the disease indication of diabetes, in an area that very companies had development or has development, which called the pre-diabetic section of the diabetes. We have right now, currently in the US there are 80 million pre-diabetics or people with about — I’m sorry its about 79 million pre-diabetics and 26 million are declared registered as diabetics. So in the area of 80 million people — close to 80 million people we are offering a drug that will allow them with no side effects, right now we don’t have adverse effect in all of our patients in phase I and phase II and we believe that trend will continue with a higher amount of patients, so we think that we can offer with no side effects a solution to mange their postprandial glucose or the amount of glucose that they get after a meal. So that’s our area of contribution to the management of the disease.
WSR: Excellent and what makes the company — what else makes Boston Therapeutics unique from some of the other players in the sector?
David Platt: We specialize in a chemistry, which is called complex carbohydrate chemistry. Very few companies doing research in general and in diabetes I don’t believer there is any — even a single company who is doing research on complex carbohydrate chemistry. Secondly the results we have right now in type 2 diabetics by reduction that is highly reduction amount of sugar in the blood, its 40%, a serious reduction. Its also a novel compound, its non-systemic, it doesn’t have side effects, and we think that we are well positioned in a population of 80 million people that need a solution from getting progressed into the club diabetics when their A1c or the markers in the blood that measure your ability to declare — to be diabetic, which is about above 6.5 of the A1c, that’s the mark that the doctors start giving you the drugs to manage your blood sugar and we can influence 80 million people from progressing to that zone of being declared diabetics and taking a full drug regimen with toxicity of course and implication.
WSR: And perhaps you can walk us through your background and experience David and talk a little bit about the management there?
David Platt: Very good, management, I’m a — myself I’m a chemical engineer, a PhD in complex carbohydrate chemistry. I’ve too published — I’ve published with an author — with other people on two books of complex carbohydrate chemistry, one it’s how to design drug from carbohydrates and the other book about galectin which is a molecule that I cloned and described and expressed many years ago and all my — this company is about that protein. While right now I am concentrating in diabetes.
WSR: And what are some of the goals and milestones that you and the team are hoping to accomplish over the next year?
David Platt: We will start soon as we declared before another phase II when — on patients — on diabetics type 2, that clinical trial will be on patients with the drug that are on metformin which is a drug for type 2 diabetics and we will add placebo control, double blind on those patients to measure how much we reduce their AUC or the area under the curve or the amount of glucose that they digest from food. So we will measure the amount of glucose that enter into the blood in those 24 patients which are on metformin, that will lead us to a phase III trial, which will measure the A1c or the amount of glucose on the hemoglobin which is the gold standard for control of diabetes type 2 and a way to make medical claim on PAZ320.
WSR: Excellent, as far as investors and the financial community are concerned David, do you believe that the company story and your message and upside are completely understood and appreciated by them and if not, what do you wish investors better understood about the company?
David Platt: We think that right now there are not many eyeballs looking on the company for many reasons. A) We just –because we are coming from a completely different area of research, which is complex carbohydrate chemistry, that doesn’t exist in diabetes. The complex carbohydrate chemistry and using that as a drug doesn’t exist. We are nearing a research which we will announce soon and we are pioneering an approach to diabetes — to sugar management that really was not strong in the — between physicians and drug companies and drug developers. So we are the newcomers, we are in the process of dealing with key opinion leaders, exposing our data to people in the field, so we are really new from the research perspective, from clinical trial data, from presentations, from key opinion leaders and not many eyeballs looking on us, not many people understand the company and we are in the process of explaining the importance of our chemistry and our drug development program and the drug, the new drug for investors. The value is that we are right now in a very low valuation, but as we progress and do a deal with drug companies and sales and having more people know about the company, the value will improve and will increase.
WSR: Great answer, once again joining us today is David Platt, the CEO, Chair and CFO for Boston Therapeutics, the company trades on the OTCQB, ticker symbol is BTHE, currently trading at 45 cents a share, market cap north of 8.7 million and before we conclude here David, to recap some of your key points, why do you believe investors should consider the company as a good investment opportunity today?
David Platt: The reason for investors to look on us is as I said is the low valuation and not knowing about the company. It is a new company and that gives a huge upside for investors. Also the IP portfolio, the IP portfolio what you call the intellectual property portfolio for this company, Boston Therapeutics, it placed the company ahead of the curve in carbohydrate technology development, which is the base of the chemistry of the drug. We truly believe that we have the most advanced chemistry and drug development in the area of carbohydrate — in the area of diabetics, diabetic management or sugar management for diabetics. This is a major disease with many patients. We are talking about 100 million in the US including pre-diabetics. It is 26 million of diabetics, people with diabetes, we can contribute this drug that will — to manage those people who are suffering from that chronic disease and absolutely improve their outcome over the years. So that’s the view that we have on our company.
WSR: Well, we certainly look forward to continuing to track the company’s growth and report on your upcoming progress and we would like to thank you for taking the time to join us today there David and update our investor audience on Boston Thera.
David Platt: Thank you very much.