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NLS Pharmaceutics reveals potential Parkinson's treatment

EditorBrando Bricchi
Published 27/06/2024, 10:50 pm
NLSP
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ZURICH - NLS Pharmaceutics Ltd. (NASDAQ:NLSP), a Swiss biopharmaceutical company, has reported promising preclinical in vitro study results for compounds targeting Parkinson's Disease (PD), specifically the A53T mutation of alpha-synuclein, a protein implicated in the disease's progression. These findings, announced today, suggest that the compounds could offer a new approach to treating PD.

The preclinical studies, conducted using Aexon Labs' non-sulfonamide dual orexin agonist (DOXA) platform, demonstrated that various DOXA compounds had positive effects on neurite outgrowth, a critical measure of neuronal health and regeneration. Notably, one compound, AEX-23, showed significant action as an Orexin 1 Receptor (OX1R) agonist combined with positive effects on neurite outgrowth at specific concentrations, indicating potential to modulate neuronal health through pathways influencing alpha-synuclein dynamics.

Alongside AEX-23, compounds AEX-19 and AEX-24 also showed promising results. AEX-19's effects at low concentrations on neurite growth, coupled with OX1R agonist activity and a moderate increase in Cathepsin D (CTSD) activity, suggest neuroprotective benefits. AEX-24's increase in CTSD activity and OX1R agonism indicates potential to enhance alpha-synuclein degradation.

Based on these results, NLS plans to develop two new chemical successors, AEX-230 and AEX-231, targeting various cathepsins involved in neurodegenerative disorders. These new product candidates aim to advance the understanding and treatment of neurodegenerative processes in PD.

The company's CEO, Alex Zwyer, and Chief Scientific Officer, Eric Konofal, MD, PhD, have emphasized the need for further research to understand the mechanisms, optimize dosing, and evaluate long-term efficacy and safety of these compounds in preclinical and clinical settings.

NLS Pharmaceutics Ltd. focuses on pioneering therapies for rare and complex central nervous system disorders and was founded in 2015. Aexon Labs specializes in research on new compounds to address unmet needs in neurodegenerative disorders.

The information in this article is based on a press release statement, and it should be noted that forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those projected. The effectiveness of these compounds in clinical settings has yet to be established, and further studies are necessary.

In other recent news, NLS Pharmaceutics Ltd. has reported significant developments in its research and potential treatment options for neurodegenerative conditions. The Swiss biopharmaceutical company has announced promising preclinical results for compounds targeting Parkinson's Disease, with potential advancements in treatment options. Additionally, NLS Pharmaceutics has published a patent application for a new series of molecules targeting narcolepsy and other neurodegenerative conditions. The company has also announced findings from its preclinical study of mazindol, indicating potential neuroprotective effects on nocturnal activity disrupted by orexin system damage.

However, NLS Pharmaceutics has been facing challenges with compliance with Nasdaq's stockholders' equity requirement, which could potentially lead to the delisting of its securities. To address this, the company has scheduled a hearing with the Nasdaq Hearings Panel to appeal the delisting determination. In a bid to raise funds, NLS Pharmaceutics has launched a registered direct offering and concurrent private placement of securities expected to raise $1.75 million, with H.C. Wainwright & Co. serving as the exclusive placement agent for this transaction.

Lastly, NLS Pharmaceutics has acquired a worldwide exclusive license from Aexon Labs, Inc. for a platform of dual orexin receptor agonists, potentially offering a broader approach to neurologic disorder treatment. These recent developments underscore the company's ongoing efforts in the field of neurodegenerative disorder treatment.

InvestingPro Insights

As NLS Pharmaceutics Ltd. (NASDAQ:NLSP) makes strides in the preclinical studies of compounds for Parkinson's Disease, the financial health of the company remains a crucial aspect for investors monitoring its capacity to sustain long-term research and development. The latest data from InvestingPro shows a market capitalization of 6.76 million USD, reflecting the company's current valuation in the market. Despite the scientific advancements, NLSP has been navigating financial challenges, as indicated by an operating income of -11.81 million USD over the last twelve months as of Q4 2023.

Investors should note that NLSP operates with a moderate level of debt and has not been profitable over the last twelve months, with a P/E ratio of -0.6. Additionally, the company has experienced a significant price drop of 81.55% over the past year, which could be a point of concern. These figures underscore the importance of closely watching the company's financial performance alongside its scientific progress.

InvestingPro Tips for NLSP highlight that the stock price often moves in the opposite direction of the market, which could represent a diversification opportunity for some portfolios. Moreover, the company's short-term obligations exceed its liquid assets, which could pose a risk for meeting immediate financial needs. For those interested in a deeper dive into NLSP's financials and strategic outlook, InvestingPro offers additional tips, with a total of 8 detailed tips available at: https://www.investing.com/pro/NLSP.

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This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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