AlzeCure licenses Alzheimer’s asset to QuantumCell in $2.2bn deal
Swedish biotech AlzeCure Pharma has licensed global rights to its NeuroRestore platform, including lead Alzheimer’s candidate ACD856, to Danish biotech QuantumCell ApS in a deal worth more than $2.2bn, excluding royalties.
Why it matters: The agreement gives AlzeCure another non-dilutive financing route for its CNS pipeline, shortly after the company signed a separate outlicensing deal with Eli Lilly for its Alzstatin platform.
By the numbers: AlzeCure will receive $12m upfront. Of that, $5m will come as a direct investment in AlzeCure at a 30% premium to the average share price over the previous 10 trading days.
- The deal also includes development and commercial milestones, plus tiered royalties ranging from single digits to low double digits on future sales. The total deal value, excluding royalty payments, exceeds $2.2 billion.
Zoom in: ACD856 is a small-molecule positive modulator of NGF/TrkA and BDNF/TrkB signalling, a mechanism AlzeCure says could enhance neuronal communication and improve cognitive functions such as learning and memory.
- The company says the drug has shown neuroprotective, anti-inflammatory and potential disease-modifying effects in preclinical models. The programme is already in clinical development and is planned to enter phase 2 in Europe this year.
- NeuroRestore has been positioned primarily as an Alzheimer’s programme, but AlzeCure says the mechanism could also be relevant in Parkinson’s disease and depression.
Between the lines: QuantumCell is a low-profile Danish company. It describes itself as a “quantum technology powered biology and CNS drug discovery company” on its LinkedIn page.
- The company’s pre-seed round amount wasn’t made public, but investors include top-tier European VCs such as Forbion, Lundbeck Invest and Novo Holdings according to the Danish business registry. US-based VC firm First Spark Ventures is also among the listed owners.
- QuantumCell has also disclosed little publicly about its development plans for ACD856 but according to AlzeCure’s CEO Martin Jönsson, his company sees “the opportunity for the project’s assets to earlier reach and benefit several different patient groups” through this agreement.
The bottom line: Through this deal, AlzeCure will be able to focus on other assets in its portfolio, such as its lead candidate ACD440, a TRPV1 antagonist currently in phase II for neuropathic pain. It also provides QuantumCell with a clinical-stage CNS asset to plug into a platform that still needs to prove itself publicly.
Market reaction: investors seem to agree with AlzeCure’s approach to unload NeurRestore’s future to a partner. The stock jumped 68% from SEK 3,87 at closing yesterday to SEK 6,52 following today’s announcement.
