NRx Pharmaceuticals, Inc. (NASDAQ: NRXP) and its wholly-owned subsidiary HOPE Therapeutics announced the signing of a definitive agreement to acquire Kadima Neuropsychiatry Institute, marking a pivotal expansion into the interventional psychiatry clinic market. The acquisition is expected to be immediately accretive to both revenue and EBITDA for the clinical-stage biopharmaceutical company.
Strategic Clinical Model for National Expansion
Kadima Neuropsychiatry Institute, located in La Jolla, California, will serve as the clinical model for treatment offerings in HOPE-acquired clinics nationwide. The clinic is one of California's flagship interventional psychiatry facilities and was among the first to bring ketamine treatment for central nervous system disorders out of academic research settings into clinical practice.
HOPE Therapeutics aims to acquire 30 clinics by the end of 2025, with projected annual revenue of $100 million. The acquisition strategy focuses on building a best-in-class network of interventional psychiatry clinics offering ketamine, transcranial magnetic stimulation (TMS), and other lifesaving therapies to patients with suicidal depression and related disorders.
Comprehensive Treatment Portfolio
Kadima offers a full range of treatments for suicidal depression, PTSD, and other CNS disorders, including ketamine, Spravato, transcranial magnetic stimulation, and medication management. The clinic is profitable and is forecast to continue growth going forward, according to the companies.
The facility has established itself as a leading investigative site for CNS and psychedelic research, having served as the lead site in nearly all major trials in this therapeutic space. Kadima continues its role as a research hub for neuroplastic therapies including psychedelic medications, transcranial magnetic stimulation, and hyperbaric therapy.
Leadership Addition
Dr. David Feifel, founder and medical director of Kadima, will join HOPE as its first Chief Medical Innovation Officer upon closing of the acquisition. A nationally recognized expert in interventional psychiatry, Dr. Feifel's credentials include serving as an elected member of the American College of Neuropharmacology and peer-elected inclusion in "Best Doctors in America."
Dr. Feifel has been cited in the Castle Connolly list of "Top Doctors" — a recognition given to only 10 psychiatrists in San Diego. He sits on the Board of the Clinical TMS Society and has co-chaired its clinical standards committee, while serving as lead investigator on numerous clinical trials of therapies for CNS disorders.
Company Pipeline and Development
NRx Pharmaceuticals is developing therapeutics based on its NMDA platform for central nervous system disorders, specifically suicidal bipolar depression, chronic pain, and PTSD. The company is advancing NRX-101, an FDA-designated investigational Breakthrough Therapy for suicidal treatment-resistant bipolar depression and chronic pain.
The company plans to file a New Drug Application for Accelerated Approval for NRX-101 in patients with bipolar depression and suicidality or akathisia. NRX-101 has potential as a non-opioid treatment for chronic pain and as a treatment for complicated urinary tract infections.
NRx has recently initiated a New Drug Application filing for NRX-100 (preservative-free IV ketamine) for treating suicidal depression, based on results from well-controlled clinical trials conducted under the auspices of the US National Institutes of Health and data from French health authorities. The FDA awarded Fast Track Designation for ketamine (NRX-100) development as part of a protocol to treat patients with acute suicidality.
Transaction Details
The planned acquisition is subject to satisfaction of standard closing conditions and finalization of financing. The companies stated that further details on the transaction will be disclosed upon completion.
"The signing of a definitive agreement to acquire Kadima marks a pivotal moment in the execution of our strategy to redefine mental healthcare access and delivery of care through HOPE Therapeutics," said Dr. Jonathan Javitt and Matthew Duffy, Co-CEOs of HOPE. "Dr. David Feifel is a true pioneer in interventional psychiatry and we are honored to have him join our leadership team. With his guidance, we are accelerating the buildout of a world-class clinic network that integrates cutting-edge science with community-based care."
