Daily Brief Health Care: WuXi XDC Cayman , Niox Group, China Traditional Chinese Medicine, IRLAB Therapeutics, Sareum Holdings, Cocrystal Pharma , Mira Pharmaceuticals and more

• WuXi AppTec (2359 HK) aims to raise around US$250m via selling around 3.5% stake in WuXi XDC Cayman (2268 HK).
• WuXi XDC Cayman (WXDC) is a contract research, development, and manufacturing organization (CRDMO) focused on the global antibody drug conjugates (ADC) and broader bioconjugate market providing integrated and end-to-end services.
• In this note, we will talk about the placement and run the deal through our ECM framework.

• NIOX Group received a non-binding takeover proposal from Keensight Capital at 81p/share, with a 9% spread.
• Øystein Spetalen surpassed 50% ownership in SAGA Pure, triggering a mandatory bid under Norwegian securities law.
• Pacific Current Group’s tender was undersubscribed; River Capital increased its stake to 40.48%, while Regal Funds exited.

• TCM finished drugs and TCM decoction pieces businesses could be the second and third growth curve of China TCM when the concentrated TCM granules business is facing VBP headwinds.
• 2024 would be the performance low point. Due to 2024 low base, we would see positive growth in 2025.Performance recovery is expected in next three years based on our forecast.
• Annual profit of RMB1 billion is achievable. If based on 10x P/E, market value is RMB10 billion.We think if valuations fall below RMB10 billion, investors can consider buying on dips.

• NIOX Group received a non-binding takeover proposal from Keensight Capital at 81p/share, with ongoing negotiations and a deadline of April 17.
• NZME Limited is exploring a separation of its OneRoof business, with activist investor Jim Grenon launching a proxy fight.
• Øystein Spetalen triggered a mandatory bid in SAGA Pure, presenting a low-risk opportunity with a 40% spread to NAV.

IRLAB has confirmed that clinical candidate IRL757, which has been designed to address apathy in patients with neurodegenerative conditions, will proceed to the next stages of clinical development. The next step will be a safety and efficacy signal finding Phase Ib trial in patients with Parkinson’s disease (PD), which will be financially supported by IRLAB’s collaboration partner, the McQuade Center for Strategic Research and Development (MSRD) through an initial payment of US$4.5m. The company expects patient enrolment for this Phase Ib study to commence in H225. We note that the decision to advance this programme was based on data from the preceding two Phase I studies for IRL757 and believe that the external recognition highlights the potential of IRLAB’s third clinical candidate.

IRLAB has bolstered the value of its lead programme, mesdopetam in levodopa-induced dyskinesias (PD-LIDs), following confirmation that the European Medicines Agency (EMA) is aligned with the company on its proposed plans for Phase III. The EMA has agreed on the primary endpoint for the Phase III programme being the Unified Dyskinesia Rating Scale (UDysRS), on which mesdopetam demonstrated a statistically significant improvement (p=0.026) in the prior Phase IIb trial (where it was a secondary endpoint). Importantly, IRLAB is now aligned with the US Food and Drug Administration (FDA) and the EMA and, hence, is in a position to proceed with preparations for the registrational studies of the candidate while meeting regulatory requirements in both the US and Europe. With this latest update, we anticipate partnering discussions to pick up pace in the coming weeks.

IRLAB has announced top-line results for its Phase IIb trial assessing pirepemat’s potential to improve balance and reduce falls in Parkinson’s disease (PD-Falls). The primary endpoint was the change in patients’ fall rates, and while the high-dose 600mg group showed a 42% reduction, the effect was not statistically significant compared to placebo. A meaningful improvement in cognitive impairment was also observed in the 600mg group, although this did not achieve statistical significance either. IRLAB will conduct a detailed review of the study data before making a decision on next steps for the programme. Reflecting the increased uncertainty, and pending release of the full data set, we have reduced our probability of success (PoS) for pirepemat to 10% (from 30% previously) and pushed out the expected launch timeline by a year, to 2030. Our valuation resets to SEK3.3bn or SEK63.3/share (from SEK5.0bn or SEK97.1/share previously).

• The Interims to December 2024 reported cash of £4.1m, excluding the £1.1m raised in March 2025 at 12.5p.
• There is a loss before tax reduced to £1.33m, compared to a loss of £2.5m (H123 to end Dec 2023) which included Phase 1a clinical trial costs.
• There are significant operational highlights in the development pipeline with SDC-1801, SRA737 and SDC-1802 as Sareum advances the next generation of kinase inhibitors for autoimmune disease and cancer.

• On March 31, 2025, Cocrystal Pharma, Inc. (COCP) announced financial results for 2024 and provided a business update.
• Following the release of favorable safety and tolerability results for CDI-988, the company’s novel, broad-spectrum protease inhibitor being developed for the treatment of noroviruses and coronaviruses, we anticipate topline results from the high-dose healthy volunteer cohort in the second quarter of 2025 and for a human challenge study as a norovirus treatment and prophylaxis later in 2025.
• Cocyrstal’s Phase 2a influenza human challenge study of CC-42344, the company’s development candidate for the treatment of pandemic and seasonal influenza A infections, is continuing after the company reported a lower than expected influenza infection rates among study participants.

• MIRA Pharmaceuticals(MIRA) Company Sponsored Research Report