XORTX Therapeutics stock soars after acquiring renal therapeutic program

Published 17/10/2025, 13:32
© Reuters.

Investing.com -- XORTX Therapeutics Inc (NASDAQ:XRTX) stock surged 40% in premarket trading Friday after the company announced it has entered into a binding term sheet to acquire a Renal Anti-Fibrotic Therapeutic Program from Vectus Biosystems Limited.

The late-stage clinical pharmaceutical company will acquire a novel new chemical entity, VB4-P5, along with its associated intellectual property, regulatory documentation, and manufacturing data. The program is currently at the pre-IND stage of development and targets both rare and prevalent forms of kidney disease.

Under the terms of the agreement, XORTX will pay USD $3.0 million to Vectus, payable in common shares or common share equivalents at a deemed issue price of USD $0.86 per security. The price is subject to adjustment but will not be lower than the Discounted Market Price as defined by TSXV policies.

"The opportunity to acquire the VB4-P5 program was highly compelling. This program is underpinned by a novel, patented small molecule with robust global patent protection and strong preclinical evidence," said Dr. Allen Davidoff, Chief Executive Officer of XORTX.

The acquisition aligns with XORTX’s strategic focus on developing innovative therapies for progressive kidney disease. The transaction is expected to close within 90 days, subject to typical conditions including regulatory approvals and compliance with stock exchange requirements.

Vectus will enter into a voluntary lockup agreement restricting sales of the securities for 180 days after the closing date.

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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