BAER-101
In November 2025, Avenue entered into an agreement for Baergic Bio, Inc. (“Baergic”) to be acquired by Axsome Therapeutics, Inc. (NASDAQ: AXSM) (“Axsome”), including the global rights to BAER-101 (also known as AZD7325), a novel oral GABAA α2,3 subtype-selective receptor positive allosteric modulator (PAM). BAER-101 was originally licensed by Baergic from AstraZeneca AB (“AstraZeneca”) and will be referred to as AXS-17 by Axsome going forward. Axsome intends to evaluate AXS-17 as a potential treatment for epilepsy.
In clinical studies in over 700 patients, BAER-101 has demonstrated an attractive and potentially differentiated safety and tolerability profile. Axsome plans to advance AXS-17 in epilepsy, based on anti-convulsant effects observed in multiple preclinical seizure models.
Transaction Details
- Axsome will receive worldwide commercial, development, and manufacturing rights to BAER-101, including all available nonclinical and clinical data. The transaction was effectuated through Axsome’s acquisition of 100% of the equity interests in Baergic, a subsidiary of Avenue, and concurrent amendment to the License Agreement between Baergic and AstraZeneca.
- Under the terms of the purchase agreement, Baergic shareholders will receive a $0.3 million upfront payment (less transaction expenses) and are eligible to receive milestone payments of up to $2.5 million upon the occurrence of certain development and regulatory events for the first indication and $1.5 million for each indication thereafter, up to $79 million in potential sales-based milestones, and a tiered mid-to-high single-digit royalty on potential global net sales of AXS-17.
- Avenue expects to receive ~74% of all future payments and royalties payable under the agreement .
