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MIAMI - HOPE Therapeutics, Inc., a subsidiary of NRx Pharmaceuticals, Inc. (NASDAQ:NRXP), has announced the signing of a definitive agreement to acquire Dura Medical, a provider of precision psychiatry services. With a current market capitalization of $34.34 million and trading at $2.03 per share, NRXP is making strategic moves despite challenging financial conditions. This acquisition, part of a previously announced intent, is set to enhance HOPE’s coverage across the West Coast of Florida, offering treatments like Ketamine Therapy and Transcranial Magnetic Stimulation (TMS) for severe depression and PTSD to both veteran and civilian patients. According to InvestingPro analysis, the company faces some financial headwinds, with two key challenges being rapid cash burn and high price volatility.
Dura Medical, established in 2018, is known for its interventional psychiatry procedures aimed at treating mental health and chronic pain. Their services include Ketamine Infusion Therapy, TMS, Spravato®, and other therapies. Dura’s founder, Stephen Durand, a U.S. Army Reserve Veteran, will join HOPE as Director of Florida Clinic Operations.
The acquisition is anticipated to provide comprehensive service offerings in conjunction with the previously announced Neurospa network. Dura’s financial performance has been positive, with the company being both revenue-generating and EBITDA positive - a contrast to NRXP’s current position, which shows an EBITDA of -$19.7 million. InvestingPro subscribers have access to over 30 additional financial metrics and insights about NRXP’s performance and outlook.
HOPE’s network is developing to provide psychedelic medications, such as ketamine and Spravato®, combined with TMS and other neuroplastic therapies. These treatments are targeted at patients with suicidal depression and related disorders, supported by a digital platform designed to augment the clinical benefits of NMDA-targeted drug therapy.
NRx Pharmaceuticals is advancing therapeutics based on its NMDA platform for central nervous system disorders. The company plans to file a New Drug Application (NDA) for Accelerated Approval for NRX-101 in patients with bipolar depression and suicidality.
The completion of the Dura acquisition is contingent upon financial audits, regulatory approvals, and standard closing conditions. This strategic move is expected to strengthen HOPE’s interventional psychiatry network, aligning with its mission to reduce suicide rates and treat mental health disorders effectively. Based on InvestingPro’s Fair Value analysis, NRXP currently appears to be trading above its Fair Value, with an overall Financial Health score rated as ’FAIR’. Investors seeking detailed analysis can access the comprehensive Pro Research Report, available for NRXP and 1,400+ other US stocks.
The information for this article is based on a press release statement.
In other recent news, NRx Pharmaceuticals, Inc. reported a significant reduction in its operational losses for the fourth quarter of 2024, cutting them by 33.5% to $18.5 million. Research and development expenses also saw a notable decrease of 53.6%, reflecting the company’s strategic cost-cutting measures. Despite these financial improvements, NRx Pharmaceuticals’ stock experienced a decline in premarket trading following the earnings announcement. The company has been active in its product development pipeline, filing an abbreviated New Drug Application (ANDA) for NRX-100 and a New Drug Application (NDA) for NRX-101, with the potential for FDA action dates by the end of 2025. Furthermore, HOPE Therapeutics, a subsidiary of NRx, is set to acquire a majority stake in Neurospa TMS Holdings, which is expected to expand its interventional psychiatry network in Florida. This acquisition is projected to enhance HOPE’s revenue projections for 2025, as Neurospa is already generating revenue and has a positive EBITDA. Analyst firm H.C. Wainwright has maintained a Buy rating on NRx Pharmaceuticals with a $19 price target, reflecting confidence in the company’s strategic direction and potential milestones.
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