BOSTON–Neurosterix, a clinical-stage biotechnology company with operations in Boston and Geneva, has raised $105 million in Series B financing to advance its lead schizophrenia drug candidate into Phase 2 clinical trials and expand its pipeline of treatments for neuropsychiatric disorders.
The financing was led by RTW Investments, with participation from new investors Janus Henderson Investors, GV, Ikarian Capital, Affinity Asset Advisors and Dellora Investments. Existing investors Perceptive Advisors and Acorn Bioventures also participated.
The company plans to use the proceeds primarily to advance NTX-253, an investigational muscarinic M4 positive allosteric modulator (PAM), into Phase 2 clinical development for schizophrenia. Additional funding will support research and development across its broader portfolio of neuropsychiatric therapies.
Alongside the financing, Neurosterix announced three leadership appointments. Andrew Miller, Ph.D., Founder of Karuna Therapeutics, has been named Executive Chair of the Board of Directors. Edmund Harrigan, M.D., has joined as an independent director, while Stephen Brannan, M.D., former Chief Medical Officer of Karuna Therapeutics, has been appointed Chair of the Clinical Advisory Board.
All three executives bring experience in neuroscience drug development, including work associated with Karuna Therapeutics and COBENFY, a muscarinic-based schizophrenia treatment approved by the U.S. Food and Drug Administration.
“The clinical validation of muscarinic biology has created an important opportunity to develop the next generation of treatments for schizophrenia and other serious neuropsychiatric disorders,” said Fred Callori, Chief Executive Officer of Neurosterix. “We believe Neurosterix is entering a defining stage in its development with NTX-253, our selective M4 allosteric modulator, as we prepare to enter Phase 2 clinical development. With the support of an exceptional investor syndicate and the addition of Andrew, Ed and Steve, we now have the resources and expertise to advance our clinical programs and pursue our broader ambition of building a leading neuropsychiatric company.”
NTX-253 is designed to selectively modulate the muscarinic M4 receptor, a target that has gained clinical validation in schizophrenia treatment. Unlike traditional antipsychotic medications that primarily target dopamine receptors, muscarinic therapies offer an alternative approach to regulating neural signaling.
Neurosterix has completed Phase 1 single- and multiple-ascending-dose studies of NTX-253. According to the company, the results demonstrated a pharmacokinetic profile that supports once-daily oral dosing, providing a basis for further clinical evaluation.
Miller previously served as Founder and President of Research and Development at Karuna Therapeutics, where he was the lead inventor of KarXT, now marketed by Bristol Myers Squibb as COBENFY. He also held the positions of Chief Executive Officer and Chief Operating Officer at Karuna and served on its Board of Directors before the company’s $14 billion acquisition by Bristol Myers Squibb in 2024.
Miller currently serves as Chairman of Progentos Therapeutics and as a director of Alto Neuroscience, Kyverna Therapeutics and Montara Therapeutics. He holds a Ph.D. in Chemical Engineering from the Massachusetts Institute of Technology.
“Muscarinic therapies have opened an important new chapter in the treatment of schizophrenia as the first ever non-dopamine-based treatments, which will bring multiple new treatment options for patients,” Miller said. “I believe Neurosterix’s highly selective approach to M4 modulation has the opportunity to be an important next generation muscarinic treatment building on promising early clinical findings and I look forward to working with the team to advance NTX-253 and help build Neurosterix into a leading company in neuropsychiatric therapeutics with a broader discovery platform capable of generating differentiated therapies.”
Harrigan, a board-certified neurologist, previously held senior leadership positions at Pfizer, including Senior Vice President and Worldwide Head of Regulatory Affairs and Safety and Senior Vice President and Head of Worldwide Business Development. He has also served on the boards of Karuna Therapeutics, Bellicum and PhaseBio and currently serves as a director of Incyte, Acadia and Modulo Bio.
Brannan previously served as Chief Medical Officer of Karuna Therapeutics, where he oversaw the clinical development of COBENFY. His career also includes senior leadership positions at Takeda, Novartis, Cyberonics, now LivaNova, and Eli Lilly, with experience in clinical programs targeting schizophrenia, Alzheimer’s disease and depression.
Connor Williams, Senior Research Analyst at RTW Investments, will also join the Neurosterix Board of Directors.
“The clinical validation of muscarinic biology represents an important advance in the treatment of schizophrenia, and we believe there is substantial opportunity for the next generation of therapies,” Williams said. “Neurosterix combines a differentiated approach to receptor modulation with encouraging early clinical progress and a deep pipeline of novel programs. We are particularly excited by the opportunity to advance NTX-253 into Phase 2 development alongside a leadership team with an exceptional track record in neuropsychiatric drug development.”
Beyond NTX-253, Neurosterix is developing NTX-819, an investigational negative allosteric modulator of the metabotropic glutamate receptor 7 (mGlu7). The program is supported by preclinical research involving models related to stress, mood and aggression.
The company is also advancing NTX-529, a separate M4 positive allosteric modulator being investigated for potential applications in additional psychosis- and mood-related disorders.
Neurosterix said its drug discovery platform includes more than 80,000 compounds and over 200 functional assays relevant to the central nervous system. The company also maintains an intellectual property portfolio containing more than 100 patent filings.
The financing positions Neurosterix to begin the next stage of clinical testing for NTX-253 while continuing development of additional drug candidates targeting psychiatric and neurological disorders.
