Clearmind Medicine Inc. (NASDAQ:CMND) saw its stock rise 10.2% in Friday premarket trading, while Polyrizon Ltd. (NASDAQ:PLRZ) climbed about 3%, after the two companies disclosed a development agreement focused on drug delivery for Clearmind’s lead asset.
The arrangement will use Polyrizon’s intranasal hydrogel platform to create an optimized intranasal formulation of MEAI (5-methoxy-2-aminoindane), Clearmind’s proprietary compound. MEAI is described by the companies as a non-hallucinogenic neuroplastogen being developed for indications that include addiction-related disorders, weight loss, and other central nervous system conditions.
The collaboration centers on adapting the hydrogel technology to enhance attributes associated with intranasal administration. The companies highlighted several potential advantages of that route of delivery:
- extended nasal residence time to improve exposure;
- more targeted delivery to relevant tissues;
- improved patient usability and flexibility in formulation; and
- the possibility of bypassing first-pass metabolism, which may support faster absorption and lower effective doses compared with oral administration.
Clearmind’s chief executive framed the partnership as complementary to the company’s efforts on delivery optimization. "We are pleased to partner with Polyrizon to develop an intranasal formulation for MEAI. Their advanced hydrogel platform complements our efforts to optimize delivery, potentially improving bioavailability and therapeutic efficacy, and patient experience for our non-hallucinogenic neuroplastogen candidates," said Dr. Adi Zuloff-Shani.
Polyrizon’s chief executive also commented on the collaboration, saying: "We are proud to collaborate with Clearmind on the development of an intranasal formulation of MEAI. Our proprietary intranasal technology is designed to enable more targeted, efficient delivery, and we believe it may offer meaningful value as Clearmind advances MEAI through its clinical pathway."
The companies disclosed a structural relationship relevant to securities rules: Polyrizon is a related party to Clearmind under Canadian securities regulations, and Clearmind said it will rely on exemptions to formal valuation and minority shareholder approval requirements for the transaction.
Summary
Clearmind and Polyrizon have entered a development agreement to apply Polyrizon’s intranasal hydrogel platform to formulate MEAI for intranasal delivery. The news corresponded with premarket share gains for both NASDAQ-listed companies and includes a regulatory disclosure noting Polyrizon as a related party under Canadian rules.
Key points
- Clearmind stock rose 10.2% and Polyrizon stock rose 3% in Friday premarket trading following the announcement.
- The collaboration targets an intranasal MEAI formulation to potentially improve bioavailability, usability, and dosing versus oral routes.
- Sectors impacted include biotech and pharmaceutical markets, as well as capital markets for small-cap drug developers listed on Nasdaq.
Risks and uncertainties
- The companies disclosed that Polyrizon is a related party under Canadian securities regulations, which introduces governance and disclosure considerations for the transaction.
- Clearmind stated it is relying on exemptions to formal valuation and minority shareholder approval requirements, which may raise scrutiny or uncertainty among investors.
- The potential benefits described for intranasal delivery are framed as possibilities; clinical and regulatory progress are not guaranteed by the announcement.