- Jupiter Neurosciences has entered into a definitive agreement with PharmAla Biotech to acquire perpetual, exclusive US rights to ALA-002, expanding its pipeline to two clinical-stage CNS programs.
- The transaction is valued at up to $100M, excluding ongoing royalties, including a $3.3M upfront ($1.5M cash + $1.8M JUNS common stock). PharmAla is also eligible for $3.3M upon Phase 3 first patient in, $20M upon US NDA approval, and commercial milestones of $10M, $30M, and $33.3M at $333M, $1B, and $2B in cumulative US net sales, respectively, plus a 3% royalty on net sales after the third commercial milestone.
- ALA-002 is an FDA-designated Novel Chemical Entity and patented non-racemic MDMA formulation designed to improve cardiovascular safety and reduce abuse liability while preserving MDMA’s therapeutic properties.
- The transaction gives Jupiter access to a potential U.S. psychedelic therapeutics opportunity, with ALA-002 targeting conditions including treatment-resistant PTSD, anxiety, and related neuropsychiatric disorders.
Takeaways:
Jupiter’s ALA-002 deal gives it a high-upside, FDA-designated NCE asset in the emerging U.S. psychedelic therapeutics space, expanding the company from one CNS program to two clinical-stage programs and giving PharmAla a path to monetization through milestones and royalties without having to build a full U.S. commercial platform itself.
Source: Globenewswire
