Vertero Therapeutics Emerges with New Focus and $20M Funding for Neurodegenerative Disease Research

Axial Therapeutics, a biotech company previously focused on autism-related therapies, has reemerged after a two-year hiatus with a new identity and direction. Now known as Vertero Therapeutics, the company has secured $20 million in Series D funding to support its renewed focus on neurodegenerative diseases, particularly Parkinson's disease.

Rebranding and Strategic Shift

Vertero Therapeutics, formerly Axial Therapeutics, announced its rebranding on Tuesday, signaling a significant pivot in its research focus. The company's new name reflects its mission "to transform the perception and treatment of neurodegenerative diseases to delay progression and preserve quality of life for patients as long as possible."

This strategic shift comes after nearly two years of silence following the company's phase 2b trial for an autism-related therapy. While Axial never publicly disclosed the results of this trial, the company has now emerged with a clear focus on neurodegenerative diseases, particularly Parkinson's disease.

New Funding and Pipeline Development

A syndicate of investors, including OneVentures and Seventure, has provided $20 million in Series D funding to support Vertero's ambitious plans. This capital injection will primarily support the development of VT-5006, the company's lead candidate for Parkinson's disease.

VT-5006 is a gut-selective small molecule designed to target CsgA, a microbial amyloid believed to drive alpha-synuclein aggregation and inflammation in Parkinson's disease. This approach is based on research conducted by the company's co-founder, which linked a gut-restricted amyloid inhibitor to improved behavior and pathology in mouse models.

Clinical Trial Plans and Future Outlook

Vertero Therapeutics aims to initiate a Phase 1 trial of VT-5006 within the year. The newly secured funding is expected to support the program through Phase 1b and into preparations for Phase 2 studies. Additionally, the company plans to allocate resources for drug discovery efforts and potential pipeline expansion.

This strategic repositioning and substantial funding round mark a significant milestone for Vertero Therapeutics as it seeks to establish itself as a key player in the field of neurodegenerative disease research and treatment.