BioVie Inc. announced the acquisition of the biopharmaceutical assets of NeurMedix Inc. Under the terms of the agreement, BioVie will pay to NeurMedix consideration consisting of 8,361,308 newly issued BioVie shares and approximately $3.0 million cash at closing, an additional $7.3 million cash payment after all contemplated clinical programs have been funded and a pivotal Phase 3 clinical trial for NuerMedix’ lead drug candidate, NE3107, has met its primary endpoints, and additional shares over time as various significant clinical, regulatory, and commercial milestones are met, as detailed below. The transaction is expected to close in June 2021. The transaction transforms BioVie’s pipeline by expanding its focus into several compelling therapeutic areas with high unmet medical needs. NeurMedix’s lead clinical drug candidate, NE3107, 17a-ethynyl-androst-5-ene-3b,7b,17b-triol, is a first-in-class small molecule, orally administered, highly effective inhibitor of insulin resistance and the pathological inflammatory cascade and with a novel mechanism of action. There is emerging scientific consensus that both inflammation and insulin resistance play fundamental roles in the development of Alzheimer’s and Parkinson’s Disease. NE3107 uniquely inhibits neuroinflammation and insulin resistance in the brain, which is different from insulin resistance in the periphery. Consequently, NE3107 could represent an entirely new medical approach to treating these devastating conditions affecting an estimated 6 million Americans suffering from Alzheimer’s and 1 million from Parkinson’s. This unique molecule has demonstrated a wide safety margin, absence of immunosuppression and the ability to cross the blood-brain barrier in pre-clinical and Phase 2 clinical trials. In February, NeurMedix announced authorization by the U.S. Food & Drug Administration to initiate its pivotal Phase 3, randomized, double-blind, placebo-controlled, parallel group, multicenter study of NE3107 in subjects who have mild to moderate Alzheimer’s Disease (NCT04669028). This trial will include 316 adult patients with expected initiation mid-2021 and expected primary completion in 2H 2022. In addition to Alzheimer’s Disease, BioVie will endeavor to advance NE3107 in a range of other diseases where insulin resistance and inflammation is implicated, including Parkinson’s, multiple myeloma and prostate cancer in the coming year.