Tetra Therapeutics and Shionogi Expand Alliance
March 9, 2020
Shionogi has increased its stake in Tetra Therapeutics to 50 percent and has an option to complete a structured buyout of the remaining shares if certain conditions are met.
Tetra’s lead therapeutic BPN14770 is a selective inhibitor of PDE4, which is a validated target for the treatment of Fragile X as a way to improve connections in neurons and enhance memory formation. Inhibition of PDE4 is also believed to protect connections between neurons and could improve memory and cognition in Alzheimer’s disease and other CNS disorders.
Tetra is conducting phase 2 studies of BPN14770 in adults with Fragile X syndrome and with early Alzheimer’s disease. The U.S. Food and Drug Administration has granted BPN14770 Orphan Drug designation in Fragile X.
Tetra is working with Shionogi to develop and commercialize BPN14770 for the treatment of Alzheimer’s disease, Fragile X syndrome and other indications marked by cognitive and memory deficits.
The new investment expands an agreement announced in 2018. Under the terms of the expanded alliance, Shionogi has not only increased its equity stake, but now has the option to complete a structured buyout of the remaining equity if certain closing conditions are met based on the topline results of the company’s clinical phase 2 PICASSO AD trial in patients with early Alzheimer’s disease. Topline results of that study are expected to be released later this month.
“With the aging of our society, cognitive disorders are becoming a serious social issue,” said Isao Teshirogi, president and CEO of Shionogi. “We believe BPN14770 has the potential to become an innovative new treatment to help solve for this issue.”
Photo: Isao Teshirogi, president and CEO
Author: Rare Daily Staff
Sign up for updates straight to your inbox.