Silo Pharma and Hoth Therapeutics plan joint venture for obesity treatment

Published 25/06/2025, 13:46
 Silo Pharma and Hoth Therapeutics plan joint venture for obesity treatment

NEW YORK - Silo Pharma, Inc. (NASDAQ:SILO) announced Wednesday it has entered into a non-binding letter of intent with Hoth Therapeutics, Inc. (NASDAQ:HOTH) to form a 50:50 joint venture focused on developing an obesity treatment. Hoth Therapeutics, with a market capitalization of $16.9 million, brings strong financial fundamentals to the partnership, maintaining more cash than debt on its balance sheet according to InvestingPro data.

The potential treatment is based on technology Hoth has exclusively licensed from the U.S. Department of Veterans Affairs (VA), co-developed with Emory University. The therapeutic platform centers on glial cell line-derived neurotrophic factor (GDNF), a biologic that has shown anti-obesity effects in preclinical models. Hoth’s stock has shown strong momentum, recording a 62.6% return over the past six months, while maintaining a healthy current ratio of 15.08.

The technology is protected under U.S. Patent No. 10,052,362 and targets conditions including non-alcoholic fatty liver disease, type 2 diabetes, and central obesity.

"We believe that our potential JV collaboration with Hoth aligns with our mission to accelerate groundbreaking science into human trials," said Eric Weisblum, CEO of Silo Pharma. Analysts appear optimistic about Hoth’s prospects, with price targets ranging from $4 to $5 per share. Get deeper insights into Hoth’s financial health and growth potential with InvestingPro, which offers 8 additional exclusive tips about the company.

Robb Knie, CEO of Hoth Therapeutics, noted that obesity affects over 40% of U.S. adults and disproportionately impacts veterans.

The proposed joint venture would include equal equity and governance participation between the two companies, with a focus on obesity and non-alcoholic fatty liver disease as lead indications.

The partnership aims to leverage the VA’s clinical infrastructure, Hoth’s regulatory expertise, and Silo’s translational capabilities, according to the press release statement.

Silo Pharma is a developmental stage biopharmaceutical company with a portfolio that includes programs targeting PTSD, fibromyalgia, and chronic pain.

The agreement remains subject to finalization, as the companies have only signed a non-binding letter of intent at this stage.

In other recent news, Hoth Therapeutics, Inc. has announced several key developments. The company reported positive results from its Phase 2a clinical trial of HT-001, a treatment for skin toxicities caused by cancer drugs. All patients in the trial achieved at least one primary endpoint, with over 65% experiencing reductions in pain and itching. Additionally, Hoth Therapeutics has formed a joint venture with Silo Pharma, Inc. to develop an obesity treatment technology licensed from the U.S. Department of Veterans Affairs. This venture will focus on conditions such as non-alcoholic fatty liver disease and type 2 diabetes. In another update, Hoth Therapeutics has regained compliance with Nasdaq’s minimum bid price requirement, allowing its stock to continue trading on the exchange. The company also reported positive preclinical safety data for its cancer treatment candidate HT-KIT, showing dose-responsive effects without observable toxicity. These developments underscore Hoth Therapeutics’ ongoing efforts to advance its clinical portfolio.

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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