Swedish biotech company Cyxone AB (publ) (STO:CYXO) reported on Thursday that it has begun a process to optimize the development plan for Rabeximod in rheumatoid arthritis (RA) as well as planned its phase 2 clinical study in Covid-19 patients in the fourth quarter of 2020.

Under a new CEO and scientific advisory board, the company plans to file for new patent applications to extend exclusivity on Rabeximod, potentially to 2043 as well as submitted a patent application related to Covid-19.

The COVID-19 trial, which is expected to include 300 patients, will be conducted in several European countries with expected readout in the Q3 of 2021. The company expects Rabeximod to dampen the cytokine storm causing the acute condition and potential lethality.

Upon reviewing results from previous clinical studies of Rabeximod, the company has concluded that there are compelling reasons for revising its current development plan for Rabeximod in RA to bring greatest value to patients and shareholders. A mapping of complementary medical indications for Covid-19-related respiratory failures has also been conducted.