NeOnc Technologies, a biotech company developing therapies that bypass the blood-brain barrier via intranasal drug delivery, is preparing to go public through a direct listing. This move comes after the company withdrew its initial public offering (IPO) registration statement earlier this year amidst investor hesitancy. NeOnc's lead program, NEO100, is currently in mid-stage clinical testing for aggressive brain cancers like glioblastoma.
Intranasal Delivery of NEO100
NEO100 utilizes perillyl alcohol (POH), a naturally occurring compound, to target cancer cells. The challenge with oral POH administration is that insufficient amounts reach the bloodstream, and higher doses lead to gastrointestinal side effects. NeOnc's approach, inspired by intranasal delivery successes with some migraine drugs, leverages cranial nerves to transport drugs across the blood-brain barrier. According to NeOnc CEO Thomas Chen, this method allows NEO100 to reach the target without disrupting the blood-brain barrier.
Clinical Trial Data
In a Phase 1 dose-escalation study involving 12 glioblastoma patients, NEO100 demonstrated safety and tolerability. While the study was not designed to show efficacy, some patients experienced extended survival, with three living more than three years and one still alive. For context, glioblastoma patients with recurrent disease typically have an average survival of six months. Further genomic analysis revealed better responses in tumors with IDH1 mutations. The ongoing Phase 2a trial is specifically recruiting patients with these mutations.
Direct Listing Strategy
NeOnc's decision to pursue a direct listing is a strategic shift after withdrawing its IPO plans. A direct listing allows existing shareholders to sell their shares to the public without issuing new shares, avoiding dilution and underwriting fees. While direct listings are rare in the biotech sector due to the need for substantial R&D funding, NeOnc aims to leverage this approach to advance its clinical programs.
Future Development
Beyond NEO100, NeOnc is also developing NEO212, a combination of NEO100 and temozolomide, a standard chemotherapy drug for glioblastoma. Additionally, preclinical research is exploring NEO100's potential to deliver levodopa for Parkinson's disease. The company anticipates the Phase 2a trial of NEO100 will reach its target enrollment of 25 patients by the end of 2024, with preliminary data expected in mid-2025.
