Strategic priority is to establish a partnership to advance neflamapimod into Phase 3 in dementia with Lewy bodies
Anticipated pipeline milestones over next six months include obtaining 24-week biomarker and clinical data from Phase 2a trial evaluating neflamapimod in nonfluent variant primary progressive aphasia and initiation of EXPERTS-ALS Phase 2a trial
Financing includes substantial participation from insiders and leading institutional healthcare investors
BOSTON, June 10, 2026 (GLOBE NEWSWIRE) -- CervoMed Inc. (NASDAQ:CRVO), a clinical-stage biotechnology company developing treatments for age-related brain disorders (CervoMed or the Company), today announced that it has entered into a definitive securities purchase agreement for a private placement, from which the Company anticipates upfront gross proceeds of approximately $10.5 million, before deducting offering-related fees and expenses.
The private placement financing was led by leading institutional healthcare investors, and was supported by insiders, including Joshua S. Boger, PhD, founder of Vertex Pharmaceuticals and chair of CervoMed's board of directors, and trusts related to John J. Alam, MD, CervoMed's president and chief executive officer, and Sylvie Grégoire, PharmD, a member of CervoMed's board of directors. The net proceeds from the financing will extend the Company's anticipated cash runway into the second quarter of 2027 and will support the pursuit of a strategic partnership to advance neflamapimod into Phase 3 development for the treatment of dementia with Lewy bodies (DLB).
Dr. John Alam stated: "We are extremely pleased with the momentum we have achieved in progressing neflamapimod in DLB over the past 6 months, which includes the presentation of the full clinical data from the Phase 2b RewinD-LB trial at major scientific conferences and alignment with the FDA and global regulators on a potential registration path in DLB. We believe this substantial progress, our differentiated scientific approach, and the commercial opportunity presented by the unmet medical need in DLB create a compelling opportunity for a strategic partner, and that such a partnership could provide the opportunity to generate significant value for our stockholders. In parallel with our increased focus on strategic partnering, the financing announced today provides the necessary capital to advance neflamapimod through key near-term clinical milestones in our other pipeline indications, including nonfluent variant PPA and ALS programs."
Dr. Joshua S. Boger added: "DLB is the second most common type of progressive dementia after Alzheimer's disease (AD) and represents a significantly underserved population where there is a substantial unfulfilled need for effective new treatments that have the ability to target the underlying cause of the disease. Neflamapimod has shown compelling Phase 2a and 2b clinical data from both an efficacy and safety perspective to date, and we believe it has significant potential to improve outcomes for patients. We are honored to have such strong support from the scientific, medical, and financial communities as we work to bring neflamapimod to those with and affected by DLB, and the physicians treating them."
Today, the Company also provided an update on its strategic plan and priorities to advance neflamapimod in DLB and multiple rare neurological disorders.
Strategic Pipeline Priorities
Establish strategic partnership to advance Phase 3-ready neflamapimod program in DLB
Alignment with US Food and Drug Administration (FDA) on potential registration path for neflamapimod in DLB announced in November 2025, supported by data from two Phase 2 trials. Alignment with the Medicines Healthcare products Regulatory Agency in the United Kingdom (UK) and the European Medicines Agency on potential registration path for neflamapimod in DLB obtained in January 2026.
Focus on DLB patients without AD co-pathology represents a differentiated, scientifically validated approach in a multi-billion dollar market with no approved therapies.
Controlled manufacturing process and stable crystal form of neflamapimod announced in March 2026 mitigate past cross-batch variability issues and increase certainty of achieving target plasma drug concentrations in future studies.
Continued momentum with recent progress, including:
Announcement of planned Phase 3 dosing regimen (50mg TID of stable crystal form), as well as manufacture and release of initial Phase 3 clinical drug batch.
Completion of a 39-week chronic toxicity study in a non-rodent species that increases neflamapimod's no adverse effect level threefold and widens the safety margin to ~30-fold above clinically active plasma drug exposures.
Recent peer-reviewed publication validates pharmacological approach of neflamapimod in DLB, blocking the neurotoxic effects of neuroinflammation, consistent with data presented by CervoMed at ADPD 2026.
Advance neflamapimod through upcoming clinical milestones in multiple rare neurological diseases
Nonfluent Variant Primary Progressive Aphasia (nfvPPA)
Phase 2a clinical trial designed to establish proof-of-principle of neflamapimod in nfvPPA fully enrolled ahead of schedule.
