The Dimerix Ltd (ASX: DXB) share price is gaining more field position in afternoon trade and is now changing hands at 28.5 cents.

That's an approximate 4% gain for the biopharmaceutical company today after it released a key update regarding its CLARITY 2.0 clinical trial regarding COVID-19.

Here are the details.

Dimerix Phase 3 COVID-19 study to expand into Australia

Dimerix advised that it has entered into an agreement with the NHMRC Clinical Trials Centre at the University of Sydney to expand its CLARITY 2.0 study.

It's not uncommon to see large studies be conducted across different jurisdictions, as it enables a wider testing sample for more robust outcomes.

For instance, researchers can gauge results across a number of demographics, ethnicities, age groups, and locations in various countries to understand any inter-human variables in how a drug might work.

Dimerix's seamless feasibility/phase 3 clinical trial, which is examining the effect of the company's DMX-200 drug candidate in COVID-19 patients with respiratory complications, will commence recruitment of 600 patients across six sites in NSW, VIC and QLD upon regulatory approval.

Currently, the study is "already approved and open for recruitment in India", and is being led by Professor Meg Jardine, Director of the NHMRC Clinical Trials Centre.

If successful, the company claims that DMX-200 "would likely be effective against the different Covid-19 strain mutations based on its mechanism of action".

As border restrictions begin to ease and lockdown mandates begin to wind back in the coming months, active COVID-19 cases and hospitalisations are expected to rise, as has been the case in other countries when doing so.

The release notes that "it is anticipated that a significant portion of the population will remain susceptible to Covid-19 because they are not vaccinated or do not get an adequate protective response from the vaccines".

This, it claims, is a driving factor for the need for COVID-19 treatments – like DMX-200 – on top of vaccines within Australia.

What's next for Dimerix?

To fund the Australian arm of the CLARITY 2.0 study, Dimerix's balance sheet is the "strongest it has been in the company's history" after it received $24 million from a recent share purchase and placement plan.

It will use this cash to finance the suite of clinical programs surrounding DMX-200 and progress the company's other candidate program, DMX-700, towards development.

The former also includes a phase 3 trial for a rare kidney disorder known as FSGS, whilst the DMX-700 program is centred on chronic obstructive pulmonary disorder (COPD).

Today's gains are a welcomed reprieve for shareholders, having endured a 5% loss over the month in their Dimerix holdings.

Dimerix share price snapshot

The Dimerix share price has climbed 21% this year to date, ahead of many of its biopharmaceutical peers.

Despite this, it has only gained 5.5% in the past 12 months, well behind the S&P/ASX 200 index (ASX: XJO)'s return of around 18% in that time.

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The Dimerix Ltd (ASX: DXB) share price is taking off today. Meanwhile, the company has conducted its annual general meeting (AGM).

At the meeting, CEO Dr Nina Webster looked back on a year she described as "pivotal for the future of Dimerix".

Webster also stated she expects the drug discovery company will begin to glide through the final stages of development and towards profitability.

While Webster's comments weren't released to the public until mid-afternoon, the Dimerix share price has been soaring since this morning.

At market close on Monday, shares in the company finished at 33 cents apiece. That represents a 6.45% gain on their previous closing price.

Let's take a look at the year that's been for Dimerix and what Webster believes the future will hold.

Dimerix's boss on a successful FY21

The Dimerix share price is in the green today, the same day the company presented its AGM.  

In the meeting, Webster pointed to the achievements the company made over financial year 2021.

These included 2 clinical studies in which the company's lead drug candidate, DMX-200, treated COVID-19 patients.

The company also prepared for another phase 3 study into using DMX-200 to treat focal segmental glomerulosclerosis (FSGS).

With numerous drugs in the final stage of trials, Webster noted the company's portfolio is positioned for growth with commercial potential.

Webster also noted that, while much of the global population is, or soon will be, vaccinated against COVID-19, there will still be a need for treatments against the virus.

Additionally, drugs that can treat severe COVID-19 have typically been more expensive than other similar drugs. This has provided DMX-200 with an attractive market.

Finally, Dimerix finished FY21 under budget.

The company is now looking forward to providing guidance for all its near-term propositions, including the FSGS phase 3 program and its 2 COVID-19 clinical studies.

Dimerix is also engaging with potential licensing partners with the aim to provide the best outcome for its patients and shareholders.

It's also building alliances with others in commercial, clinical and manufacturing areas to enhance its chances for success.

Dimerix share price snapshot

Today's included, the Dimerix share price has gained 35% so far this year.

It is also 30% higher than it was this time last year.

The post Dimerix (ASX:DXB) share price soars as boss looks back on 'pivotal' year appeared first on The Motley Fool Australia.

The broad Australian indices have started the day off in the red as the market resets from a number of stirrups this week.

The S&P/ASX 200 index (ASX: XJO) has clipped 0.37% lower today and sits at 7,343 points, whereas the S&P/ASX 200 Health Care index (XHJ) has dropped around 1% from the open.

Yet, these 3 ASX healthcare shares are soaring well ahead of their benchmarks today. Let's take a closer look.

Neuroscientific Biopharmaceuticals Ltd (ASX: NSB)

Neuroscientific is concerned with the development of diagnostics and therapeutics for neurodegenerative diseases.

In today's trading, Neuroscientific's shares are changing hands at 48.5 cents each, which is a 10% gain from the open.

Two recent advancements made on the company's EmtinB drug label appear to have shot the company's shares to new highs. Neuro' is developing EmtinB as a treatment for all kinds of neurodegenerative conditions, such as Alzheimer's and MS.

On 31 August, Neuro' had positive data readouts from a pre-clinical study that showed EmtinB's potential "as an effective treatment for Multiple Sclerosis (MS)". The results add to a list of data that points to it being a potential MS drug candidate.

Aside from this, on 3 September the company advised it had received approval from AusIndustry under the R&D tax incentive program to develop EmtimB as a "novel therapeutic treatment for ocular conditions" with (up to) $25 million in rebates.

Bionomics Ltd (ASX: BNO)

Bionomics shares are now changing hands at 17.5 cents each, which is a 6% gain in afternoon trade. At one point today, shares in the biopharma company were trading at over 18 cents each, up 10% from the previous close.

A recent announcement concerning the company's lead clinical compound, BNC210, appears to have spurred on recent gains for Bionomics.

Last week it announced a "planned (the) commencement" of a clinical trial for BNC210, further investigating its use in the "acute treatment" of social anxiety disorder.

The compound had previously shown promising signs in a Phase 2a clinical study, where it produced "significant anti-anxiety signals".

It is recruiting 150 patients in the US-based study, and intends to submit an application "by the end of this year".

Investors continue to push this ASX healthcare share into the green as we finish trading this week.

Dimerix Ltd (ASX: DXB)

Shares in clinical biopharma company Dimerix hit an intraday high of 31 cents at one point today, an 11% gain from the previous close.

They have since cooled off slightly in afternoon trade and now trade at 30 cents each. Dimerix shares have been on the move today since the company made a key announcement earlier.

The company advised it had been given the green light in India to start the "feasibility/Phase 3 clinical study" of its lead drug candidate, DMX-200.

DMX-200 will now be investigated in the "treatment of respiratory complications associated with COVID-19 imminently", after the Indian authorities met on 2 September to discuss the study.

This marks the "final regulatory agency approval required" to commence the phase 3 study, known as CLARITY 2.0. The first patient is "expected to be dosed in the next few weeks".

Aside from this, DMX-200 is also being investigated in a Phase 3 clinical study for a rare set of kidney disorders.

These 3 ASX healthcare shares have stepped ahead of the broad indices in afternoon trade on Friday.

The post These 3 ASX Healthcare shares have soared over 10% today appeared first on The Motley Fool Australia.

Below we take a look at the clinical-stage biopharmaceutical company's announcement on COVID-19 treatment that looks to be driving investor interest.

What COVID-19 announcement did Dimerix make?

The Dimerix share price is rocketing after the company reported that Indian regulatory agency – the Central Drugs Standard Control Organization (DCGI) – has formally recommended approval of the DMX-200 clinical study in COVID-19 patients.

DMX-200 is Dimerix's lead drug candidate, developed to potentially treat focal segmental glomerulosclerosis (FSGS), respiratory problems relating to COVID-19, and diabetic kidney disease.

According to the release, numerous clinical sites in India are ready to start recruitment in the feasibility/Phase 3 clinical study of DMX-200 to treat COVID-related respiratory complications.

The DCGI regulatory approval was the final one required before launching the CLARITY 2.0 study. Dimerix expects the first of what may be 600 participants to be dosed inside the next few weeks. The company is still awaiting receipt of the approval permit to move forward.

What did management say?

Commenting on the progress, Dimerix's CEO Nina Webster said:

We are extremely pleased to be in a position to potentially treat COVID-19 patients suffering debilitating respiratory complications, through both the CLARITY 2.0 study as well as the REMAP-CAP study currently recruiting in Europe…

[I]f DMX-200 does show benefit in respiratory complications associated with COVID-19, it may also show benefit in respiratory complications associated with other infections too, such as pneumonia and influenza. Thus, this provides an opportunity that could extend well beyond the impact of COVID-19.

The study is being led by Professor Meg Jardine, director of the NHMRC Clinical Trials Centre at The University of Sydney, along with Professor Vivek Jha and The George Institute for Global Health India.

Dimerix share price snapshot

With today's intraday gains factored in, the Dimerix share price is up 39% over the past 12 months. By comparison the All Ordinaries Index (ASX: XAO) gained 27% over that same period.

Dimerix shares are currently trading 2% higher than this time last month.

The post Dimerix (ASX:DXB) share price soars 9% on COVID-19 news appeared first on The Motley Fool Australia.

The Dimerix Ltd (ASX: DXB) share price is gaining today despite no news having been released by the company.

In fact, the market hasn't heard anything from Dimerix in more than a week.

Right now, Dimerix's shares are swapping hands for 35 cents apiece, 2.94% more than they were at yesterday's close.

Let's take a look at what might be boosting the drug development company's stock on Thursday.

What's boosting Dimerix's stock today?

The Dimerix share price has well and truly recovered from a major fall last week.

Last Tuesday, Dimerix released a prospectus for a share purchase plan, to the detriment of its share price. Under the prospectus, investors could purchase up to $30,000 worth of new Dimerix shares for 20 cents apiece.

The Dimerix share price plummeted 11.7% to 30 cents following the prospectus' release. Luckily, it bounced back quickly.

Perhaps Dimerix's recovery was aided by its announcement that it had begun its phase 3 clinical study in patients with focal segmental glomerulosclerosis (FSGS). The study is named ACTION3.

The company broke the news that it's filed the first ethics submission for the study last Wednesday. If the submission is approved, the company can begin recruiting patients.

The study is expected to run over 167 sites in 18 countries, with Australia and New Zealand set to be the first out of the gate.

Dimerix will be testing the efficacy and safety of DMX-200 in patients with FSGS who are receiving a stable dose of an angiotensin II receptor blocker.

The company expects to screen the first of the study's patients in the last quarter of 2021.

Dimerix share price snapshot

Today's gains have added to the strong recent performance of the Dimerix share price.

The company's shares are currently going for 45% more than they were at the start of 2021. However, they're still trading for 50% less than they were this time last year.

The post The Dimerix (ASX:DXB) share price is up 3% on Thursday appeared first on The Motley Fool Australia.

The Dimerix Ltd (ASX: DXB) share price has sunk well into the red from the opening of trade on Tuesday.

Dimerix shares are on the way down as the company advised it had lodged a prospectus with the Australian Securities and Investment Commission (ASIC).

Let's investigate further.

A quick refresher on Dimerix

Dimerix is a clinical-stage drug development company. Its lead clinical program is investigating the use of the company's DMX-200 treatment in chronic kidney disease (CKD).

In addition, Dimerix is developing DMX-200 for applications in chronic and acute respiratory disease, and another kidney condition known as focal segmental glomerulosclerosis (FSGS).

As a result of its efforts, Dimerix has a market capitalisation of $67.65 million at the time of writing.

What did Dimerix announce?

Dimerix advised its prospectus contained an offer of a share purchase plan (SPP) that gives "each eligible shareholder" the opportunity to apply for "up to $30,000 worth of new (Dimerix) shares".

In addition, the securities are issued at a price of 20 cents per share. As such, this offer represents the same price as the 2-tranche placement of about 100 million shares last week. The Dimerix share price rocketed 50% on the news of the successful capital raise and the release of the company's full 2021 financial year results.

Moreover, eligible shareholders will receive "one free unlisted option for every two shares issued under the placement". This option is exercisable at 40 cents per share, and has an expiry date of July 2024.

Further, it is extending the same option to its SPP, naming it the "SPP Option".

The proceeds from both the SPP and the placement will be used for working capital, debt repayment and to finance clinical studies in FSGS patients.

Moreover, it will also use the funds to establish manufacturing and distribution channels to conduct further clinical studies. This makes sense, as it can cost up to $1 million for an 8-patient study in some instances.

Investors have punished the company on the back of this update today. Dimerix shares are now exchanging hands at 30.5 cents apiece, a 10.29% dip on the day.

Dimerix share price snapshot

The Dimerix share price has climbed 32% this year to date. Despite this, it has posted a loss of 50% over the past 12 months.

In the last month, Dimerix shares have stepped a further 24% into the green.

This has lagged the S&P/ASX 200 index (ASX: XJO)'s gain of about 23% over the past year.

The post Dimerix (ASX:DXB) share price down 10% after prospectus issued appeared first on The Motley Fool Australia.

This comes as the biopharmaceutical company emerges from Thursday's trading halt, announcing a successful capital raising and releasing its full 2021 financial year results.

First, let's look at the results for the year ended 30 June.

Dimerix share price soars despite operating losses

• Revenues from ordinary activities decreased 44% year-on-year
• Loss after providing for income tax of $6.37 million, up from a loss of $4.49 million in FY20
• Cash reserve of $5.3 million
• No dividends paid during FY21

What happened in FY21 for Dimerix

Dimerix reported it demonstrated "favourable clinical efficacy and strong safety profiles" across a number of its Phase 2 renal clinical studies

In the United States, the Food and Drug Administration (FDA) gave clarity to the company's Focal Segmental Glomerulosclerosis (FSGS) and Orphan Drug Designation, accelerating the approval pathway. Similar approvals were granted by the United Kingdom and European Union medical authorities.

The company also has 2 independent Phase 3 clinical studies currently underway in patients with COVID-19 respiratory complications.

Additionally, Dimerix reported its DMX-200 manufacturing process was optimised to improve commercial scalability and global logistics.

What did management say?

Dimerix's CEO Nina Webster said:

We faced a year of challenges and opportunities in 2020. I am enormously proud of how adaptive and resilient our employees were in the face of a global pandemic and am grateful for their unwavering commitment to deliver on strategy and further strengthen the pipeline.

Research & development director Robert Shepherd added:

It has been a very exciting and rewarding year, with our Phase 2 studies in FSGS and diabetic kidney disease providing robust data to progress into a global Phase 3 study that may provide a much-needed therapeutic option for patients with FSGS. The outcomes from our DMX-200 studies have supported inclusion into two COVID programs and I am pleased to be in a position support the global effort in treating the effects of this disease.

What's next for Dimerix

Looking ahead, the company plans include:

• Global FSGS Phase 3 clinical study initiation
• REMAP-CAP Phase 3 study in intensive care COVID-19 patients conclusion
• CLARITY 2.0 Phase 3 study in hospitalised COVID-19 patients conclusion
• DMX-700 pre-clinical study initiation
• DMX-200 in diabetic kidney disease longer term study initiation

Today's capital raising announcement

Circling back to the cap-raise, which could also be influencing the Dimerix share price lift today, the company said it has received firm commitments to raise $20 million via a 2-tranche placement of some 100 million new shares.

Commenting on the capital raising, Webster said:

The company will emerge from this capital raise with a substantially strengthened balance sheet, putting us in a great position to deliver on the Dimerix pipeline, including the Phase 3 programs in FSGS as well as in COVID-19 patients with respiratory complications. We look forward to reporting on our progress in due course.

The Dimerix share price is up 38% in 2021.

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The Dimerix Ltd (ASX: DXB) share price has shot 6% higher to start the day after an update from the drug discovery company.

Why is the Dimerix share price surging higher?

Dimerix provided an update on its Phase 3 ACE2 renin angiotensin system (RAS) modulation study domain in Europe. The first 24 patients have been recruited into the study in patients with COVID-19 pneumonia, which incorporates DMX-200. DMX-200 is Dimerix's chemokine receptor (CCR2) blocker that has been included in the global COVID-19 trial. 

The Dimerix share price has rocketed higher on the news with 22 patients from the Netherlands and 2 in the UK. Patients receive one of three randomly assigned interventions or a control as part of the study.

It comes as the World Health Organisation (WHO) has recorded 5.2 million new cases of COVID-19 in the last 7 days. That's the most cases in a week since the beginning of the pandemic with both case numbers and deaths increasing in recent weeks.

The Dimerix feasibility/Phase 3 study is a "multi-centre, randomised, standard of care vs multi-active comparators platform study in patients with COVID-19". The three RAS blockade strategies are:

• Angiotensin receptor blocker (ARB)
• ARB in combination with DMX-200
• Angiotensin converting enzyme (ACE) inhibitor
• No RAS inhibitor (no placebo)

How have the company's shares performed?

The Dimerix share price rocketed higher on the news this morning before paring back some gains throughout the morning. Shares in the Aussie biotech company have been volatile in the last year or so.

In fact, the ASX biotech share plunged 63% lower in just one day, back in September 2020. That came after the company reported results from its phase 2 study of DMX-200 in patients with diabetic kidney disease. The study showed no statistically significant difference across the cohort between those receiving DMX-200 and the placebo treatment.

However, the Dimerix share price has gained 8.3% so far in 2021 including today's early gains.

The post Why the Dimerix (ASX:DXB) share price is rocketing higher appeared first on The Motley Fool Australia.

The Dimerix Ltd (ASX: DXB) share price is rising today after the biopharmaceutical company announced its involvement in a trial on COVID-19 therapies.

Dimerix will be involved in the trial, named CLARITY 2.0, which has received approval from the Central Independent Ethical Review Board in India. It is expected to begin in April.

At the time of writing, the Dimerix share price has risen by 4% to 25 cents.

Dimerix's involvement in the CLARITY 2.0 trial

Dimerix's lead drug candidate, DMX-200, will be included in the CLARITY 2.0 trial, which will study treatment options for COVID-19.

CLARITY 2.0 will be running in India, where it will combine doses of DMX-200 with blood pressure medication to treat the respiratory symptoms associated with COVID-19.

The trial will involve 600 patients infected with COVID-19, who will be treated for 28 days and supervised for 26 weeks.

CLARITY 2.0 will be led by the University of Sydney's Professor Meg Jardine from the NHMRC Clinical Trials Centre. It will be run in collaboration with the George Institute for Global Health India.

Professor Meg Jardine spoke to BiotechDispatch:

The SARS-CoV-2 virus downregulates and suppresses certain anti-inflammatory effects and that may tip the local lung environment towards inflammation and fibrosis and might be why the virus has such a devastating effect on lung tissue.

We generally see that people with chronic health conditions that include inflammatory drivers… are more vulnerable to respiratory complications if they contract the SARS-CoV-2 virus. Some of those inflammatory drivers interact with the blood pressure system which is why some common blood pressure medications may improve outcomes in COVID-19 disease.

Early results suggest that DMX-200 may have stronger anti-inflammatory effects when used in combination with these blood pressure medications.

It is the second clinical trial that involves using DMX-200 to treat the respiratory symptoms brought on by COVID-19.

About DMX-200

Dimerix's DMX-200 was originally intended to treat forms of kidney disease, with which it had positive results.

The drug is a CCR2-inhibitor, aimed at reducing the damage caused by inflammatory immune cells. Thus, the company highlights that DMX-200 may also support the long-term outcomes of COVID-19 patients.

Dimerix share price snapshot

At the time of writing, the Dimerix share price is up by 4% to 25 cents. It has a year to date return of 6% and is up 70% over the last 12 months.

Dimerix has a market capitalisation of approximately $48 million, with 198 million shares outstanding.

The post Why the Dimerix (ASX:DXB) share price is up today appeared first on The Motley Fool Australia.

The Dimerix Ltd (ASX: DXB) share price lifted higher today after the company announced the start of its second clinical study on lead drug candidate, DMX-200. At the time of writing, the Dimerix share price is up 6.1% at 26 cents.

What's driving the Dimerix share price?

The Dimerix share price is storming higher following the announcement of its international study into COVID-19 patients. Led by Professor Meg Jardine at the University of Sydney Australia, the clinical trial will collaborate with Professor Vivek Jha and The George Institute for Global Health, in India.

DMX-200 was chosen for a partner study of the controlled evaluation of angiotensin receptor blockers for COVID-19 respiratory disease (Clarity) study. The Clarity 2.0 will seek to monitor the treatment of DMX-200 in COVID-19 patients who are admitted to hospital.

The phase 3, Clarity 2.0 study will assess roughly 600 patients in India who have tested positive for coronavirus, using DMX-200 together with an angiotensin receptor blocker. The randomised, double blind, controlled study will use the World Health Organisation's (WHO) 7-point health score. At the 14-day treatment day mark, Dimerix will record the primary endpoint results. Recruits in the study will be administered the drug for a period of up to 28 days and followed up for a total of 6 months.

The DMX-200 aims to reduce damage from inflammatory immune cells by blocking signals and limiting movement predominately in the lungs. When infected with COVID-19, patients usually suffer from breathing complications, prior to the onset of acute respiratory distress syndrome.

What did management say?

Commenting on the potential applications of DMX-200, Professor Meg Jardine said:

We generally see that people with chronic health conditions that include inflammatory drivers, such as chronic kidney disease, diabetes, cardiovascular disease and obesity, are also those who are more vulnerable to respiratory complications if they contract the SARS-CoV2 virus. Some of those inflammatory drivers interact with the blood pressure system which is why some common blood pressure medications may improve outcomes in COVID-19 disease.

Early results suggest that DMX-200 may have stronger anti-inflammatory effects when used in combination with these blood pressure medications. The Clarity and Clarity 2.0 studies are designed to answer whether these blood pressure medications, used alone or in combination with DMX-200, may alter the course of COVID-19 disease and provide a better outcome for patients.

Dimerix CEO and managing director Dr Nina Webster added:

Our lead candidate, DMX-200, has demonstrated efficacy across three different studies in patients with active inflammatory disease, and we are very pleased to support a second research study in COVID-19 patients as well as progressing DMX-200 into a Phase 3 clinical study in the rare kidney disease Focal Segmental Glomerulosclerosis (FSGS) in the first half of 2021.

About the Dimerix share price

The Dimerix share price hit an all-time high of 78 cents in September, but is still a long way off that level despite today's rise. Sitting at 26 cents, the Dimerix share price is up 100% since the beginning of the year.

The post Why the Dimerix (ASX:DXB) share price is surging 6% higher today appeared first on The Motley Fool Australia.

Why has the Dimerex share price dropped?

Dimerix reported the results of its phase 2 study of DMX-200 versus placebo in patients displaying albuminuria, a sign of kidney disease. Albuminuria occurs when the kidneys fail to stop a blood protein, albumin, from entering the urine.

According to the company, the results of the phase 2 study were consistent with prior studies. Fifty-six percent of patients with a higher starting albuminuria level that received DMX-200 rather than a placebo achieved a clinically significant drop in albuminuria. This is considered as a 25% drop in albuminuria above that achieved by standard best therapy. However, across the full patient cohort, there was no significant difference between treatment with DMX-200 and treatment with a placebo.

The company said DMX-200 was found to be generally safe and well-tolerated in diabetic kidney disease patients.

Dimerix Medical Advisory Board chair Dr Hiddo Heerspink said:

While the study did not show a statistically significant difference in its primary endpoint, the effects in people with baseline albuminuria of over 500mg/g provides informative insight that certainly warrants further analysis.

About the company

Dimerix is a drug company that develops treatments for unmet medical needs. It has been listed on the ASX since 2014.

On 3 September 2020, Dimerix announced it had been awarded $1 million from the medical research futures fund to support a respiratory study in COVID-19 patients. The company said experts believed that its DMX-200 drug candidate may have applications in treating lung inflammation in patients suffering from COVID-19.

In the year to 30 June 2020, Dimerix saw a loss of  $4.49 million or 2.62 cents per share. The company had cash reserves of $7.8 million at 30 June 2020.

The Dimerix share price is up 225.84% since its 52-week low of 8.9 cents, and up 123% since the beginning of the year. The Dimerix share price is up 222.22% since this time last year.

The post Why the Dimerix (ASX:DXB) share price has plunged 63% today appeared first on The Motley Fool Australia.

Right now investors have a range of areas to choose great ASX shares for growth. On one hand we see radical changes in short term credit with the buy now, pay later companies led by Afterpay Ltd (ASX: APT). On the other hand, changes in the world's security outlook has boosted defence shares. Furthermore, growth shares are springing up in technological and medical areas with companies such as Recce Pharmaceuticals Ltd (ASX: RCE). 

When investing in ASX growth shares, it's important to remember 3 pieces of advice. First, with great upside potential comes the ability to rapidly go to zero (this is what high risk looks like). Second, always consider investments over a minimum 3–5 year time frame. Third, do not commit to invest anything more than you can live with losing. 

So, if you have the nerve for investing in growth stocks, then here are 3 that I think are well worth your attention.

3 ASX shares with big potential

Fintech sector

The finance technology, or fintech, sector in Australia is fascinating. This is an area where companies are delivering financial services using modern technologies.

In this space, the ASX share that I believe is under appreciated is the blandly named CML Group Ltd (ASX: CGR). I believe this is a company made for our times. It provides debtor finance; that is, securing short-term finance with assets other than property. The largest example of this is invoice financing. CML Group will take your invoice as security and fund you up to 80–90% of it, with the loan paid back when the invoice is paid.

Short term credit like this is vital to small businesses for cashflow management. The "tech" part of this fintech is its recent acquisition of a a software-as-a-service (SaaS) website called Skippr. The platform integrates with common fintech platforms like Xero Limited (ASX: XRO) and MYOB, as well as a number of others. 

It provides small business with a subscription-based approach to quickly access short-term finance. It also automates a lot of the process making it feasible for CML Group to finance much smaller companies. Previously, it had to target companies with receivables of $200,000 or more to make it profitable. 

Aside from the business dynamics, there are a number of other reasons why I favour this company. First, it has a solid financial track record. In fact, over an 8-year period it has grown its earnings per share by about 12% per year. Second, it has a small market capitalisation. At $78.33 million, the idea of multiplying one or two times the initial  investment is believable. Last, at its current price it has a trailing 12-month dividend yield of 6.67%, which I find respectable.

Biotech sector

There are many innovative biotech ASX shares that are shaping the future not only in Australia, but throughout the world. Dimerix Ltd (ASX: DXB) is currently developing a drug, DMX-200, to treat diabetic kidney disease and focal segmental glomerulosclerosis (commonly referred to as FSGS). FSGS is a scarring of the kidneys and some cases may end in kidney failure, requiring dialysis or a kidney transplant.

Proteinuria, or protein in the urine, is a sign of kidney disease. DMX-200 demonstrated a 29% reduction in protein for all test subjects versus the placebo. Moreover, 29% demonstrated a greater than 40% reduction. In the first half of CY21 the company plans to commence the investigational new drug process with the FDA in the USA. 

Dimerix is valued at $92.94 million. Year to date, the company's share price has risen 261%. This company is a pure research organisation and it may take a year or so to start seeing real on the ground results. However, I think the ASX share price is likely to continue rising over the near term as it moves closer and closer to production. Most importantly, the potential addressable market for this company is massive and global.

Defence sector

In the defence sector there are a number of ASX shares worth looking into. These include aluminium ship building giant Austal Limited (ASX: ASB), sensor technology experts Electro Optic Systems Hldg Ltd (ASX: EOS), and body armour manufacturer Xtek Ltd (ASX: XTE). However, personally I think near-term growth is likely to come from Orbital Corporation Ltd. (ASX: OEC).

Orbital is the world leader in propulsion systems for unmanned aerial vehicles (UAV) or drones. The company recently announced it had achieved revenue of $33.8 million. This is an improvement of 121% on the FY19 revenue. Moreover, it now has 2 engine models in continuous production for Insitu, a subsidiary of Boeing. The 3rd of the 5 contracted engine models is scheduled for production in 2021.

In addition, Orbital signed a new MoU with one of Singapore's largest defence companies for the design, development and initial production of a multi-fuel UAV engine. Furthermore, it has a new contract with leading aerospace company Northrop Grumman for a hybrid propulsion system for a vertical take-off and landing UAV.

Foolish takeaway

There are many ASX shares that are poised for growth over the next 3–5 years. I have chosen 3 that I believe have strong momentum and are likely to see at least a doubling of their share price. Each of the 3 ASX shares above is advanced in their technologies, with CML and Orbital already generating revenues. Lastly, each of them has a very sizeable addressable market.

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The Dimerix Ltd (ASX: DXB) share price has raced out of the gates this morning following news that one of its treatments has been included in a global COVID-19 clinical study.

Dimerix is a clinical-stage biopharmaceutical company that develops new therapies in areas with unmet medical needs. In doing so, the company leverages its scalable proprietary platform technology, Receptor-HIT, to rapidly screen and identify new drug opportunities.

Why the Dimerix share price is flying higher

This morning, Dimerix announced that its novel treatment DMX-200 has been selected for inclusion in the REMAP-CAP global study protocol for acute respiratory distress syndrome (ARDS) caused by COVID-19.

The REMAP-CAP clinical study is endorsed by the World Health Organisation and has been named by the chief medical officers of the UK as a key clinical trial for COVID-19.

REMAP-CAP is an international platform trial run by a number of leading experts, institutions, and research groups. The trial already has several existing treatment domains including anti-viral, immune-modulation and immunoglobulin treatment arms. DMX-200 will now be part of a new treatment group to compare the effect of a number of treatment options on the clinical outcomes of COVID-19 patients requiring hospital care.

Upon regulatory approval, Dimerix believes DMX-200 could be the only investigational new drug in the study since all of the other candidates are a repurposing of existing approved drugs.

The overall REMAP-CAP study plans to include more than 7,000 patients at study sites across Asia-Pacific, Europe and North America. Dimerix stated it will work closely with REMAP-CAP to obtain the necessary regulatory and ethics approvals before providing DMX-200 to sites from its existing pharmaceutical-grade manufactured supply.

In addition to potentially benefitting ARDS patients with COVID-19, Dimerix is currently developing DMX-200 for both diabetic kidney disease and focal segmental glomerulosclerosis (a kidney-related disease).

Commenting on today's update, Dimerix CEO and managing director Dr Nina Webster said:

"We are extremely pleased to be in a position to support this global initiative investigating the potential of multiple therapies to treat COVID-19 patients dying of ARDS".

"Dimerix is uniquely positioned to support the global effort in identifying COVID-19 treatments, as well as having two Phase 2 renal clinical studies completing mid- 2020," she added.

The Dimerix share price rocketed as much as 120% this morning to an intra-day high of 59.5 cents in early trade. It has since pulled back to 44 cents at the time of writing, representing a 63% jump. This takes Dimerix's current market capitalisation to around $80 million.

The post Dimerix share price doubles after being included in global COVID-19 study appeared first on The Motley Fool Australia.