Suven Life Sciences Eyes 2027 Breakthrough For Alzheimer’s Drug, Targets Multibillion-Dollar Opportunity

Pharmaceutical company Suven Life Sciences is pinning its hopes on a pivotal phase 3 clinical trial for its novel drug, SUVN-502 (Masupirdine). This drug is aimed at addressing agitation and aggression in patients with Alzheimer’s disease, but its results are not expected until 2027, according to Chairman and Managing Director Venkateswarlu Jasti.

“We are very hopeful, but it doesn't mean a thing until the cheque is in the bank. So you have to take it as I said, it is zero as of now, but everything will be known only in 2027,” he said during a conversation with NDTV Profit on Tuesday.

Jasti underscored that drug discovery was a high-stakes, binary process with no guaranteed outcomes. “Drug discovery, it's a binary outcome. There is no percentage of success or anything like that, and it's a long-drawn process. Each drug takes 10-15 years before you see whether it's going forward or not going at all,” the top executive said.

The drug, which aims to treat agitation in people with Alzheimer’s and other forms of dementia, has shown promise based on post-facto analysis of earlier trials. The market potential for successful treatment is immense.

“It can be a multibillion-dollar opportunity according to Street estimates," Jasti noted. The drug's potential could also extend beyond Alzheimer's, as agitation is a common symptom in other forms of dementia.

Suven Life Sciences recently completed a Rs 857 crore fundraising round. Jasti explained that the funding was a 50-50 split, with half the funds coming from his own family and the other half from investors.

He admitted that generating investor interest for pure drug discovery in India remains a challenge. "There is not much interest, to be honest with you," he said. 

According to the CMD, investor confidence was likely driven by the management’s substantial personal financial commitment to the company.

This recent capital injection is expected to sustain the company's operations until the 2027 results are in. When asked about profitability, Jasti made it clear that no profits were expected in the next few years.

“No profitability in the next few years until a molecule is successful because we do not have any revenue,” he said.

The year 2027 will be critical not just for SUVN-502, but also for other molecules in Suven's pipeline, such as SUVN-G3031 and SUVN-911, which are also slated to produce key results around the same time, Jasti noted.

Suven Life Sciences shares closed at Rs 236.25, up Rs 5.05 or 2.18% on Aug. 19 on NSE. In comparison, the Nifty 50 ended the day at 24,980.65, gaining 103.70 points or 0.42%.