NeOnc Technologies to acquire AI and bioprinting IP portfolio for $3.5m

CALABASAS, Calif. - NeOnc Technologies Holdings, Inc. (NASDAQ:NTHI), a clinical-stage biotech company with a current market capitalization of $95 million, announced Wednesday it has signed a binding Letter of Intent to acquire intellectual property assets focused on 3D bioprinting, artificial intelligence, and quantum modeling technologies for $3.5 million. According to InvestingPro analysis, the company currently appears overvalued at its current trading price of $4.25.

The transaction includes the acquisition of all outstanding equity interests in a to-be-formed Delaware entity jointly owned by Dr. Ishwar K. Puri and Beth R. Levinson. The IP portfolio includes U.S. Patent No. 11,788,057 B2, which was secured through a Patent Transfer Agreement with McMaster University.

The deal structure consists of $500,000 in cash and $3 million in NeOnc common stock issued at $25 per share. This price represents a significant premium to the current trading price, as InvestingPro data shows the stock has declined nearly 59% over the past six months, though it has shown strong recovery in the past month.

As part of the agreement, Dr. Puri will join NeOnc’s Board of Directors. He currently serves as Senior Vice President of Research and Innovation at the University of Southern California and is ranked among the top 0.4% of scholars worldwide by citation impact, according to ScholarGPS.

"By joining NeOnc’s Board and contributing our IP portfolio, we’re striving to create a powerful integration of cutting-edge computational approaches with targeted therapeutic development," said Dr. Puri.

NeOnc Technologies is a clinical-stage biotechnology company developing treatments for brain cancers. The company’s NEO100 and NEO212 therapeutics are currently in Phase II human clinical trials and have received FDA Fast-Track designation.

The acquired technologies are expected to be integrated into NeOnc’s existing IP platform and will also be part of the company’s Middle East partnership with Quazar Investment Group.

The announcement was made in a company press release. InvestingPro analysis reveals several additional insights about NeOnc’s financial position, including challenges with short-term obligations exceeding liquid assets and negative earnings over the last twelve months. Subscribers can access 5 more exclusive ProTips and detailed financial metrics to better understand the company’s prospects.

In other recent news, NeOnc Technologies Holdings Inc. has announced a significant strategic partnership with Quazar Investment, totaling $50 million. This agreement, which has received unanimous approval from NeOnc’s Board of Directors, involves Quazar acquiring 1.4 million shares at $25 each, contributing $35 million held in custody at Morgan Stanley. The remaining $15 million is earmarked for Phase 2B clinical trials and infrastructure development in the UAE and the broader Middle East and North Africa (MENA) region. This investment marks a crucial milestone in NeOnc’s expansion plans, as it includes the formation of NuroMENA Holdings Ltd, a wholly owned subsidiary. NuroMENA will oversee NuroCure, an Abu Dhabi-based subsidiary tasked with managing clinical trials for NeOnc’s late-stage drug candidates across the MENA region. These developments are part of a non-binding term sheet aiming to establish a new UAE-based platform. The strategic move is seen as a step forward in NeOnc’s efforts to strengthen its presence in the MENA region.

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