Adial Pharmaceuticals (ADIL) Corporate presentation summary

Transaction overview

• Acquisition structured as a stock-for-stock transaction, exchanging all Azora equity for Adial common and preferred stock.

• $32M upfront financing with potential for an additional $32M upon IND or first dosing milestone.

• Combined company advances a colon-targeted AhR program for ulcerative colitis, with IND and Phase 1a studies expected in H1 2027.

• Leadership includes experienced executives from both companies and a new independent director with Genentech background.

• Positioned to read out proof-of-concept study in ulcerative colitis by early 2028.

Product and scientific platform

• AT177 is a fully synthetic, oral, colon-targeted AhR agonist inspired by indigo naturalis, designed for safety and efficacy in ulcerative colitis.

• Demonstrated in vivo efficacy, target PK/PD in large animals, and completed GLP rat toxicology; IND planned for Q2 2027.

• Converts to indirubin, the most potent AhR agonist in indigo naturalis, directly in the colon.

• Achieves robust colon AhR activation with minimal systemic exposure, supporting a wide therapeutic index.

• Durable IP protection extends to 2043, with broad claims on composition and use of AhR agonists.

Market opportunity and competitive landscape

• Inflammatory bowel disease (IBD) is a $30B global market, with $11B attributed to ulcerative colitis and 5M patients worldwide.

• Current therapies have limited efficacy and significant safety liabilities; AT177 aims to address these gaps.

• AhR agonists have shown potential to exceed current efficacy ceilings in UC, with indigo naturalis and obefazimod as precedents.

• AT177 is designed to be combinable with other UC mechanisms and may unlock opportunities in Crohn's disease.

• Positive clinical data in UC could drive significant value creation, as seen in recent industry acquisitions.