Newron Pharmaceuticals has raised CHF 27M (€24M) in a private placement that will support the development of new treatments for neurological diseases.
The Italian biotech Newron Pharmaceuticals has issued new shares to institutional investors through a private placement that has raised a total of CHF 27M (€24M). The shares, which amount to 11% of the total, will be listed and traded on the SIX Swiss Exchange from October. The funds will support all activities through 2019, including further development of its assets and the search for pipeline additions, focused on orphan indications of the nervous system.
After the launch of Xadago (safinamide) in twelve European countries and the US, which made it the first new type of drug for Parkinson’s in 11 years, Newron is now focusing its efforts on completing a Phase III study with sarizotan in patients with Rett Syndrome and designing what could be a pivotal trial for its candidate evenamide.
Evenamide is being developed as the first add-on therapy for schizophrenia. Since its mechanism of action, based on blocking sodium channels, is different from that of current antipsychotics, the company believes it can bring a significant benefit in multiple symptoms. If it makes it to the market, Newron has the potential to change the treatment of schizophrenia as it has changed the treatment of Parkinson’s.
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