2 July 2019 - - Italy-based biopharmaceutical company Newron Pharmaceutical S.p.A. (SIX: NWRN) has received Tranche 1 under its financing agreement with the European Investment Bank that was signed in October 2018 and comprises up to EUR 40m, subject to achieving a set of agreed performance criteria, the company said.
The EIB loan is backed by the European Fund for Strategic Investments, the central pillar of the Investment plan for Europe, the Juncker plan.
Tranche 1 under this financing agreement consists of EUR 10m and will primarily be used to support the company's development programs in diseases of the central nervous system.
In connection with Tranche 1, EIB has received warrants entitling EIB to purchase up to 201,793 ordinary shares of Newron at an exercise price of EUR 9.25 per share.
Newron (SIX: NWRN) is a biopharmaceutical company focused on the development of novel therapies for patients with diseases of the central and peripheral nervous system.
The company is headquartered in Bresso near Milan, Italy. Xadago (safinamide) has received marketing authorization for the treatment of Parkinson's disease in the European Union, Switzerland, the US, Australia, Canada, Brazil, and Colombia and is commercialized by Newron's partner Zambon.
US WorldMeds holds the commercialisation rights in the USA. Meiji Seika has the rights to develop and commercialize the compound in Japan and other key Asian territories.
In addition to Xadago for Parkinson's disease, Newron has a strong pipeline of promising treatments for rare disease patients at various stages of clinical development, including sarizotan for patients with Rett syndrome and ralfinamide for patients with specific rare pain indications.
Newron is also developing Evenamide as the potential first add-on therapy for the treatment of patients with positive symptoms of schizophrenia.