The shares of CV Technologies Inc. shot up on Monday after the company said it had won clearance to sell its Cold-fX cold and flu drug in the United States.
The Edmonton-based company expects the drug will be available for sale in the U.S. in time for the cold and flu season in the fall of 2006.
CV Technologies shares (TSX:CVQ) were up almost 25 per cent on the TSX, closing at $3.36.
The patented active ingredient in Cold-fX has been accepted by the U.S. Food and Drug Administration as a new dietary ingredient, the company said.
"We are pleased that this significant milestone has been achieved and that our board of directors has given its support to proceed with management's U.S. launch plans," said Dr. Jacqueline Shan, CV Technologies' president, chief executive officer and chief scientific officer.
"We have been working on strategies for the past nine months and we now look forward to executing them," Shan said.
Promoted by hockey commentator Don Cherry, Cold-fX is the bestselling cold and flu remedy in Canada, CV Technologies claims.
It is made from chemicals found in North American ginseng. The company has been licensed by Health Canada as a manufacturer of natural health products after clinical testing showed the drug was effective in combatting the common cold.
The company claims that Cold-fX strengthens the immune system.