Shares of RXi Pharmaceuticals (RXII) are up 11% today after the company reported promising new data in which the company utilizes the sd-rxRNA technology to target Tyrosinase and Collagenase. There were two different poster presentations that displayed very promising new data in two different targeted areas. These posters were presented at the 74th Annual Meeting of the Society for Investigative Dermatology

The first poster, #642 entitled "Tyrosinase Targeting Self-Delivering RNAi Compounds," displayed data in which the sd-rxRNA technology platform targets TYR. The data showed that the targeting of TYR using the company's technology lead to a visible reduction of pigmentation in cultured melanocytes. RXi ran In vitro experiments using a 3-dimensional tissue culture model of human epidermis -- skin -- that contains melanocytes. The data displayed was remarkable as the sd-rxRNA compound targeting Tyrosinase was one hundred times more potent than Kojic acid. Kojic acid is a mild inhibitor of melanocytes. Some targets against Tyrosinase are:

1. Lentigines -- freckles, age spots, liver spots
2. Retinitis Pigmentosa
3. Neuroblastoma
4. Glioblastoma

The second poster, #487 entitled "Self-Delivering RNAi Compounds Targeting Collagenase," displayed data in which the sd-rxRNA technology platform targeted the MMP1 target. The sd-rxRNA showed a reduction of MMP1 mRNA levels similar to the reduction in MMP1 levels of the HT-1080 cells. These HT-1080 cell lines are an important target because they deal with various cancers of connective tissue. The company was able to silence MMP1 in an in vitro scratch assay and determine that the sd-rxRNA drug was able to migrate A459 cells. This means the company could potentially use the MMP1 to target non-small cell lung cancer -- NSCLC -- in patients. Some potential targets  in collagenase are: 

1. Non-Small Cell Lung Cancer 
2. Endometriosis
3. Blistering Skin Disorder
4. Skin Aging Disorder including photo aging 
5. Osteoarthritis
6. Rheumatoid Arthritis 
7. Acne Scarring
8. Chronic wounds

As you can see, the company can go many different routes with both Collagenase and Tyrosinase. Each target in these areas can potentially generate billions of dollars. For the company, this builds on the IND for retinal scarring of macular degeneration set to occur in mid 2015 and the skin scarring programs in phase 2 showing positive preliminary results for both hypertrophic scars and keloids. I I believe RXII is severely undervalued and deserves a more just valuation ranging from the $400 to $500 million market cap respectively as compared to its RNAi peers in same stage of clinical development, Arrowhead Research (ARWR) and Tekmira Pharmaceuticals (TKMR).