Includes notes on Generalized Anxiety Disorder (GAD), Major Depressive Disorder (MDD), Recent Multi-Billion Dollar Acquisitions in Neuropsychiatry
Engrail is developing drug therapies for the treatment of diseases such as generalized anxiety disorders (GAD), depression, posttraumatic stress disorder, and rare neurodegenerative diseases.
Since its founding in 2019, the company has raised over $ 220 million. Engrail has a team of 16 employees and is based in San Diego, California.
Major Depressive Disorder (MDD) – also known as Clinical Depression
Clinical depression affects about 280 million people in the world. An estimated 21.0 million adults in the United States had at least one major depressive episode. This number represented 8.3% of all U.S. adults, according to the National Institute of Mental Health. Depression is characterized by a depressed mood, but can lead to various negative effects, including loss of hope, trouble sleeping, loss of appetite, and thoughts of suicide.
According to this research paper, 70% of patients with MDD showed clinically obvious features of anhedonia (reduced ability to feel pleasure).
Generalized Anxiety Disorder (GAD)
Generalized anxiety disorder (GAD) is one of the most common anxiety disorder among older adults, affecting over 6.8 million people in the US.
There are various treatments available for GAD. Selective serotonin reuptake inhibitors (SSRIs), which are antidepressant medications, can be useful in treating patients with anxiety disorders, but can often come with adverse effects. Benzodiazepines, some of the most commonly prescribed psychoactive drugs, work by activating the neurotransmitter GABA – a chemical in the brain that facilitates feelings of calmness. However, Benzodiazepines can cause adverse reactions, and can also create a dependency on the drug that can mask its effect with long-term use.
Engrail’s ENX-102
Engrail’s goal with its product – ENX-102 – is to “harness the efficacy of benzodiazepines without the limitations” (Engrail corporate presentation) and help people with GAD. ENX-102 does this by selectively activating only certain GABA pathways (unlike benzodiazepines), leading to a safer profile. Some of the money raised will be spent on the ongoing support of developing ENX-102. As Vikram Sudarsan, Ph.D., President and CEO of Engrail Therapeutics said, “we look forward to completing our ongoing ENX-102 phase 2 study in generalized anxiety disorder and advancing the rest of our pipeline into clinical development.”
Engrail’s other drug developments that are currently in the pre-clinical stage are focused on depression, anhedonia, PTSD/mood disorders, and Menkes disease (a disorder affecting copper levels in the body caused by mutations in the ATP7A gene).
Recent Multi-Billion Dollar Acquisitions in Neuropsychiatry Drug-Development
Within the last 6 months, two bits of acquisition news underscore the importance of drug development in this neuropsychiatry space and also the oversubscribed round of funding for Engrail.
- In December 2023, AbbVie announced its plans to acquire neuroscience drugmaker, Cerevel Therapeutics for roughly $8.7 billion. Cerevel’s pipeline portfolio includes Emraclidine, an experimental treatment for both schizophrenia and Alzheimer’s disease psychosis and Darigabat, a drug that selectively targets GABA to treat both epilepsy and panic disorder.
- In December 2023, Bristol Myers Squibb announced the acquisition of biopharmaceutical company Karuna Therapeutics for $14bn in cash. The acquisition closed in March 2024. Karuna focuses on drug discovery for psychiatric and neurological ailments.
Core to what Karuna brings to the table is KarXT (xanomeline-trospium). KarXT is a dual-drug fixed-dose combination of xanomeline and trospium. In November 2023, Food and Drug Administration (FDA) accepted Karuna’s new drug application (NDA) for KarXT for the treatment of schizophrenia in adults. KarXT has a Prescription Drug User Fee Act (PDUFA) date of September 26, 2024.
Investors Funding Engrail Therapeutics
Investors in this round include F-Prime Capital, Forbion, and Norwest Venture Partners, with participation from Eight Roads Ventures, RiverVest Venture Partners, Red Tree Venture Capital, funds managed by abrdn Inc., Ysios Capital, Longwood Fund, and existing founding investor Pivotal Life Sciences.