NeuroThera to acquire 55% stake in quantum computing bio data firm

TEL AVIV - NeuroThera Labs Inc. (TSXV:NTLX), a clinical-stage pharmaceutical company focused on central nervous system disorders, has entered into a non-binding term sheet to acquire a 55% stake in an Israeli quantum computing bio data company, according to a press release issued Tuesday.

NeuroThera, which is approximately 75% owned by SciSparc Ltd. (Nasdaq:SPRC), will issue common shares representing 40% of its share capital to the selling shareholders of the target company. SciSparc, currently trading at $1.82, appears undervalued according to InvestingPro analysis, despite its micro-cap status with a market capitalization of just $2.98 million.

The acquisition remains subject to due diligence, definitive agreements, regulatory approvals, and other closing conditions. The companies have not disclosed financial terms of the proposed transaction.

The target company specializes in quantum-enabled clinical analytics, which aims to store, manipulate, and analyze bio data more efficiently than existing technologies. The approach utilizes quantum phenomena such as superposition and entanglement to potentially accelerate processing in medical research and development.

NeuroThera Labs develops treatments for central nervous system disorders and other health conditions. Its parent company, SciSparc, focuses on cannabinoid pharmaceuticals through drug development programs including SCI-110 for Tourette syndrome and Alzheimer’s disease, and SCI-210 for autism spectrum disorder and status epilepticus. SciSparc has shown impressive revenue growth of nearly 188% in the last twelve months, reaching $1.31 million, though InvestingPro data indicates the company is quickly burning through cash.

The companies noted that there is no assurance the transaction will be completed on the described terms or at all. While SciSparc has not been profitable over the last twelve months, InvestingPro Tips suggest analysts anticipate both sales growth and improved net income this year. Discover 12 more exclusive insights and detailed financial metrics with an InvestingPro subscription.

In other recent news, SciSparc Ltd. announced it has signed a binding term sheet to acquire patents, trademarks, and intellectual property rights from Xylo Technologies Ltd. This acquisition includes the MUSE™ system, an innovative single-use endoscopic device designed for transoral fundoplication, a procedure used to treat gastroesophageal reflux disease (GERD). SciSparc plans to follow Xylo’s successful commercialization model, which previously secured a $3 million upfront payment in Greater China. The company aims to pursue global commercialization through exclusive partnerships with regional distributors. These developments mark a strategic move by SciSparc to expand its portfolio in the medical device sector. The announcement has generated varying reactions in the market, illustrating investor interest in the company’s new direction.

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