NextStage Therapeutics Acquires Lipocure and Eynat Pharma, Bolstering Pipeline
Translated & summarized from Israel Hayom by baba
NextStage Therapeutics is acquiring Lipocure and Eynat Pharma to expand its drug pipeline, gaining an FDA-approved drug, a pain relief candidate nearing Phase 2 trials, and liposomal drug development capabilities. The deal includes an initial payment of NIS 10 million in shares, with up to NIS 16 million more tied to development milestones.
The story in 5 lines · by baba
- NextStage Therapeutics is acquiring Lipocure and Eynat Pharma.
- The deal expands NextStage's drug pipeline with an FDA-approved product.
- A pain relief drug candidate is nearing Phase 2 clinical trials.
- The acquisition includes liposomal drug development and manufacturing expertise.
- The initial payment is NIS 10 million in shares, with more tied to milestones.
NextStage Therapeutics announced it has signed a binding agreement to acquire all shares of Lipocure and Eynat Pharma. These companies were founded and are scientifically led by Professor Ezekiel Barenholtz, a pioneer in liposomal drugs and nanomedicine. The acquisition is expected to significantly expand NextStage's asset portfolio and reduce its reliance on a single development program.
Upon completion, NextStage will gain an FDA-approved drug for marketing in the U.S., another product nearing Phase 2 trials, and development, manufacturing, and regulatory capabilities in liposomal pharmaceuticals. This move aims to establish a broader platform with multiple products at various stages of maturity.
The initial payment for the acquisition is NIS 10 million, to be paid in NextStage shares. An additional amount of up to NIS 16 million, also in shares, is contingent on meeting milestones in the development and registration of a pain relief drug.
Liposomal drugs encapsulate active ingredients within tiny fatty envelopes that act as delivery systems in the body. This technology can influence drug distribution, release rate, and targeted tissue delivery, potentially improving treatment profiles. The most promising asset may be Lipocure's non-opioid drug for post-surgical pain, which preclinical models reportedly showed reduced pain for over seven days. A competing product offers pain relief for up to three days and generates approximately $600 million in annual U.S. sales.
Eynat Pharma contributes a generic version of Doxil, an FDA-approved liposomal cancer drug, to the deal. For investors, the acquisition presents three potential value drivers: a regulatory-approved asset, a drug with significant market potential entering advanced clinical stages, and a development and manufacturing platform. However, realizing this potential depends on the deal's completion, successful clinical trials, regulatory progress, and market commercialization.