XTL Biopharmaceuticals Acquires Majority Stake in NeuroNOS, Pioneering Autism Therapeutics
XTL Biopharmaceuticals Ltd. (NASDAQ: XTLB; TASE: XTLB.TA) has announced a binding agreement to acquire an 85% stake in NeuroNOS Ltd., a subsidiary of Beyond Air, Inc. (NASDAQ: XAIR). NeuroNOS is a biotechnology company at the forefront of developing disease-modifying therapeutics targeting Autism Spectrum Disorder (ASD) and neuro-oncology. This acquisition marks a transformative step for XTL, positioning the company as a leader in the rapidly growing autism therapeutics market.
Addressing the Autism Crisis
Autism Spectrum Disorder now affects approximately 1 in 31 children in the United States, a staggering increase that has placed immense pressure on healthcare systems, schools, and families. Despite decades of research, no FDA-approved therapies currently exist to address the underlying neurobiological mechanisms of autism. Existing treatments focus solely on managing behavioral symptoms, leaving the core pathology untreated.
The urgency of this crisis has reached the highest levels of U.S. policy. President Donald Trump recently described the rise in autism as “one of the most alarming public health developments in history,” emphasizing the need for solutions to improve the lives of affected children and their families. Similarly, Robert F. Kennedy Jr., U.S. Secretary of Health and Human Services, highlighted the devastating impact of autism on families and called for immediate action to develop effective treatments. The federal government has responded by allocating $50 million in new NIH funding for autism research, signaling a shift in regulatory priorities and resources toward addressing this critical need.
NeuroNOS: A Game-Changer in Autism Therapeutics
NeuroNOS is pioneering a platform of small-molecule therapeutics designed to cross the blood-brain barrier and target nitric oxide (NO) dysregulation, a core pathological mechanism in autism. Founded by Professor Haitham Amal, a leading autism researcher from Hebrew University of Jerusalem and visiting scientist at Harvard University, NeuroNOS has built its approach on groundbreaking research into NO abnormalities in the brain.
The company’s scientific leadership is further bolstered by the involvement of two Nobel Laureates in Chemistry: Professor Dan Shechtman (Technion) and Professor Roger Kornberg (Stanford University). This unparalleled combination of expertise positions NeuroNOS as a leader in therapeutic innovation.
Preclinical studies have demonstrated the potential of NeuroNOS’s platform to address the root causes of autism rather than merely alleviating symptoms. The company has also secured two FDA Orphan Drug Designations for Phelan-McDermid Syndrome, a rare genetic disorder linked to autism, and Glioblastoma, an aggressive form of brain cancer. These designations provide significant regulatory and financial advantages, including seven years of market exclusivity upon approval and expedited FDA review.
Strategic Transaction Details
Under the terms of the agreement, XTL will acquire 85% of NeuroNOS in exchange for 19.9% of XTL’s issued share capital, $1 million in cash, and milestone-based payments of up to $32.5 million. These payments include $5.5 million tied to clinical development milestones and $26 million linked to commercial sales targets. The transaction is subject to customary closing conditions, including shareholder approval.
NeuroNOS will now serve as XTL’s flagship platform for autism and neuro-oncology therapeutics. Both companies are committed to accelerating the development of NeuroNOS’s pipeline, with a shared goal of bringing transformative treatments to market as quickly as possible.
Leadership Perspectives
Noam Band, CEO of XTL Biopharmaceuticals, expressed enthusiasm for the acquisition:
“We are extremely excited to enter the autism field, which represents one of the most significant unmet medical needs today. With an extraordinary scientific team that includes two Nobel Laureates and Professor Haitham Amal, we have assembled the expertise needed to make a real difference. This acquisition positions XTL at the forefront of autism therapeutics, and we are committed to advancing these programs with the urgency and rigor they deserve.”
Steve Lisi, Chairman and CEO of Beyond Air, highlighted the strategic importance of the transaction:
“This represents a pivotal moment for NeuroNOS, validating the groundbreaking science we’ve been developing and providing the potential to create meaningful value for our shareholders. What began as a subsidiary of Beyond Air is now positioned to become a standalone engine for innovation in autism and neuro-oncology.”
About NeuroNOS
NeuroNOS is dedicated to developing innovative treatments for neurodevelopmental and neurodegenerative disorders. Its proprietary small-molecule platform targets nitric oxide dysregulation, a critical therapeutic target in both autism and brain cancer. Through collaborations with leading research institutions and scientists, NeuroNOS aims to deliver transformative therapies for patients facing these devastating conditions.
About Beyond Air
Beyond Air is a commercial-stage medical device and biopharmaceutical company focused on harnessing nitric oxide (NO) to treat respiratory illnesses, neurological disorders, and solid tumors. The company’s FDA-approved LungFit PH system is already improving outcomes for neonates with hypoxic respiratory failure, and its other LungFit systems are in clinical trials for severe lung infections, including COVID-19.
A New Era in Autism Treatment
In conclusion With this acquisition, XTL Biopharmaceuticals is poised to lead the charge in addressing one of the most urgent and underserved medical needs in global healthcare. By combining cutting-edge science with world-class expertise, the company is taking a bold step toward transforming the lives of millions of individuals and families affected by autism.
