Alzheimer’s is a terrifying disease.
Not only can it lead to memory loss and dementia, but in the U.S., it’s the sixth-leading cause of death.
But now a new biotech start-up has possibly uncovered a cure.
For those struggling with the disease, this start-up could provide a life-saving solution…
And for its early investors, it could provide life-changing profits.
The Current State of Alzheimer’s Treatment
Currently, more than 5 million Americans are battling Alzeihmer’s.
Perhaps surprisingly, this neurodegenerative disease kills more people than breast cancer and prostate cancer combined.
Although no treatment is available to stop or reverse the progression of Alzheimer’s, patients spend billions of dollars every year to temporarily improve its symptoms. According to Goldman Sachs, spending on Alzheimer’s will soon reach $30 billion.
Many bio-tech companies seeking a cure for Alzheimer’s have focused on removing “Abeta” or “tau” deposits from the brain, where they form plaques and tangles.
But in the eighteen years since the first anti-Abeta trial started, these efforts haven’t generated an effective drug or cure. In fact, in the research community, the idea that Abeta and plaque cause Alzheimer’s is quickly losing momentum.
Which is why a New Jersey-based bio-tech start-up is taking a different approach…
Introducing Neurotez
The start-up I’m referring to is called Neurotez.
Neurotez’ solution to curing Alzheimer’s focuses on a hormone called Leptin, which scientists have recently come to believe plays a significant role in learning and memory.
Typically, the brain has a natural abundance of Leptin. But for those suffering from Alzheimer’s, Leptin levels decrease rapidly.
Simply put, Neurotez is developing a drug that acts as a Leptin replacement therapy.
The drug is called Memtin — and not only might it help those who are already suffering from Alzheimer’s, but it might also prevent people from getting the disease in the first place.
Progress To Date
Memtin is a natural protein with a known medical safety profile. (That means, from the perspective of gaining FDA approval, Memtin is already “Phase II-ready.”)
Neurotez has been working to develop Memtin since 2007.
Since then, several independent studies (including Licinio; Lieb et al; and London et al) have documented the benefits of Leptin for the treatment and prevention of Alzheimer’s.
The Neurotez team (which includes a dozen PhDs in medicine and science, and 50+ years on the business side of the pharmaceutical industry) has already been awarded 20 patents, and its research has been featured in more than one thousand publications and medical journals.
Neurotez has already received more than $4 million from the National Institutes of Health.
But now the company is seeking additional capital from investors like you in order to begin clinical trials.
The company’s valuation is $10.7 million, and the minimum investment is just $1.
Should you consider an investment?
Let’s take a look…
Pros
There are plenty of “pros” to a potential investment.
For example:
Neurotez was nominated as the “Most Promising Private Company” by the Biotechnology Industry Organization, and has received two awards from the Alzheimer’s Association…
Its team includes the Senior Research Scientist at the Stanford/VA Aging Clinical Research Center and Alzheimer’s Center; an executive with thirty-three years of drug development experience at Pfizer; and several executives with experience in early phase clinical development and regulatory affairs from Bristol-Myers Squibb, Wyeth, and Johnson & Johnson…
And for investors, the Alzheimer’s sector has delivered enormous profits — especially because the world’s biggest pharmaceutical companies jump at the chance to acquire any bio-tech start-up that may have discovered a “miracle drug” that can cure Alzheimer’s.
For example, Merck acquired Alectos Therapeutics, a young Alzheimer’s-focused bio-tech start-up, for $289 million.
And Johnson & Johnson struck a deal with AC Immune — a bio-tech company working on creating a vaccine to treat early-stage Alzheimer’s — worth more than $509 million.
More generally, the recent mean deal size for a pre-clinical bio-tech company focused on Alzheimer’s is $313 million, and if the company has graduated to Phase 1 or Phase II trials, the deal size increased to $527 million.
Given the current ~$10 million valuation for Neurotez, a deal in that range could deliver big profits to early investors.
That being said…
The Risks Involved
Bio-tech investing is highly risky.
In this case, it’s critical to understand that Memtin hasn’t yet received FDA approval. In fact, approval isn’t certain, and it might still be three or four years away.
Furthermore, given the far-ranging scope of this disease (and its potential to bring in huge revenues if a “blockbuster” drug could be found), competition to find a cure is fierce.
That being said, Neurotez is taking a unique approach to curing the disease, and it seems to be onto something.
If you’re interested in learning more about Neurotez, visit the company’s funding page here »
Happy Investing
Please note: Crowdability has no relationship with Neurotez, or with any of the platforms or companies we write about. Crowdability is an independent provider of education, information and research on start-ups and alternative investments.
Best Regards,
Founder
Crowdability.com
