Tag: NASDAQ:ADXN

Shares of Addex Therapeutics Ltd (NASDAQ: ADXN) saw a significant uptick during the current market session today. As of the latest update, ADXN stock has surged by 40.72%, reaching $10.54 on the US stock charts. This rise follows the announcement of the selection of clinical candidates by the company, in collaboration with Indivior PLC, from their GABAB positive allosteric modulator (PAM) research program.

Milestone Collaboration for Addex in Substance Use Disorder Treatment

Addex and Indivior PLC disclosed that a compound has been selected from their joint research efforts for further development, specifically targeting substance use disorder. Indivior will now assume full responsibility for the future development of this selected compound.

The collaboration marks a significant step forward in addressing the complex challenges of substance use disorders through innovative approaches targeting the GABAB receptor. This receptor, previously addressed by the generic agonist baclofen, holds promise for treating various conditions, though its broader application has been hampered by side effects, rapid clearance, and tolerance development.

Financial and Developmental Benefits for ADXN

Under the agreement, Addex is positioned to receive payments of up to USD 330 million, contingent upon achieving certain regulatory, clinical, and commercial milestones. Additionally, ADXN stands to benefit from tiered royalties on net sales, ranging from high single digits to low double digits. Beyond the financial gains, Addex has also exercised its right to advance its own GABAB PAM program, specifically focusing on the treatment of chronic cough.

Future Prospects and Ongoing Research

The selection of clinical candidates represents the culmination of over five years of dedicated research by Addex, in collaboration with Indivior. Utilizing its industrial-scale allosteric modulator discovery platform, the company successfully identified specific candidates from thousands of compounds.

Moving forward, Addex will continue to focus on its chronic cough program while Indivior advances the substance use disorder candidate. These efforts underscore a continued commitment to developing innovative therapies that address unmet medical needs.

The shares of Addex Therapeutics Ltd (NASDAQ: ADXN) are experiencing a notable surge today, with an increase of 20.68% to $15.70 as per the latest check during early hour trading. This upward momentum in ADXN stock follows the unveiling of a new entity.

Addex Therapeutics (ADXN) officially announced the establishment of Neurosterix, an organization dedicated to developing allosteric modulators to treat neurological illnesses (ADXN). Funds affiliated with Perceptive Advisors, a company that specializes in investment management in the bio sciences, have collaborated to enable this project.

Supported by a $63 million initial investment from Perceptive Xontogeny Venture Fund II and additional funding from Perceptive Life Sciences Fund and Acorn Bioventures, Neurosterix plans to purchase a number of preclinical assets and Addex’s allosteric modulator drug discovery technology platform. The purpose of this calculated action is to accelerate the growth of these assets.

In return for their collaboration, Addex will receive CHF5 million in cash and a 20% stake in Neurosterix. Addex will uphold its existing partnerships with Janssen Pharmaceuticals, Inc. and Indivior PLC, in addition to maintaining ownership of clinical stage assets such as dipraglurant for Parkinson’s disease and post-stroke/TBI recovery, as well as their preclinical GABAB positive allosteric modulator (PAM) program for chronic cough.

The establishment of Neurosterix in conjunction with Perceptive signifies a significant endorsement of Addex’s allosteric modulator drug discovery technology platform. Moreover, it provides the necessary resources to expedite the development of critical preclinical assets, including the M4 PAM and mGlu7 negative allosteric modulator (NAM) programs, transitioning them into clinical phases.

This transaction not only substantially reduces Addex’s operational expenses but also injects CHF5 million in cash, thereby extending its financial runway beyond 2026. This financial stability enables ADXN to achieve pivotal milestones within its partnered programs, such as the anticipated Phase 2 epilepsy data from its collaboration with Janssen in the second quarter of 2024, while also securing a promising stake in the future of Neurosterix through its 20% equity interest.