Avenue Therapeutics Buys Baergic Bio, Beefs Up Central Nervous System-Focused Portfolio

Avenue Therapeutics Inc ATXI acquired Baergic Bio Inc pursuant to the previously disclosed Share Contribution Agreement with its parent company, Fortress Biotech Inc FBIO.
Founded in December 2019, Baergic Bio focuses on developing a pharmaceutical product for CNS disorders.
Its pipeline currently includes a single compound, BAER-101, an oral small molecule selective GABA-A α2/3 receptor positive allosteric modulator, which was in-licensed from AstraZeneca Plc AZN.
Preclinical data have substantiated the efficacy of BAER-101 as a novel anxiolytic and antiepileptic.
Benzodiazepines interact non-selectively with GABA-A receptor (GABA-AR) subunits, especially the α1 subunit.
By selectively targeting the α2/3 subunits of the GABA-A receptor, BAER-101 may spare the adverse effects associated with benzodiazepine use. Consistent with its selectivity over α1-preferring GABA-ARs, BAER-101 may have a reduced propensity to produce sedation and memory impairment.
To date, clinical experience in over 700 patients has shown that BAER-101 is safe and side effects were mild to moderate.
Price Action: ATXI shares are up 1.80% at $1.70 on the last check Tuesday.