Lunai Bioworks Inc. (NASDAQ:LNAI) said it has signed a binding agreement to purchase blood-brain barrier delivery technology and central nervous system Alzheimer’s drug assets from Clemann Group, SAS in a deal valued at $20 million.
The acquisition value is more than double Lunai’s current market capitalization of approximately $9.71 million, with the company’s shares recently trading around $0.40 after falling roughly 94% over the past year.
Under the terms of the transaction, the purchase will be financed through Series B Convertible Preferred shares issued at a fixed conversion price of $1.50 per share. The structure includes a 19.9% beneficial ownership cap and contains no variable pricing or reset features, according to the company’s statement.
The acquired technology includes a platform designed to deliver therapeutic compounds across the blood-brain barrier. The system enables drug candidates to enter the brain while remaining inactive in the rest of the body, activating only once inside the central nervous system. The approach targets biological pathways associated with acetylcholinesterase modulation.
“We are now combining the ability to identify the right biology with a validated mechanism to deliver therapies directly into the brain,” said David Weinstein, CEO of Lunai Bioworks.
The company said the acquisition enhances its Alzheimer’s disease pipeline and broadens its capacity to develop therapies for central nervous system disorders.
Lunai Bioworks operates as an AI-driven life sciences company that integrates clinical data, machine learning and in vivo validation in its drug discovery efforts, with a focus on CNS diseases and oncology.
In other recent developments, Lunai Bioworks has taken steps to manage financial pressures by temporarily furloughing employees in the United States and Canada as it seeks additional funding and works to conserve cash.
The company has also begun an AI-based analysis of colorectal cancer clinical trial data in partnership with an undisclosed clinical-stage collaborator. The project uses the Augusta AI platform to examine patient outcomes, focusing on overall survival and disease progression.
Additionally, Lunai has introduced Sentinel, an AI safety system intended to prevent foundation models from generating novel chemical agents. The tool integrates with large language and scientific AI systems to screen molecular outputs.
Separately, the company reported completing key milestones in an NIH-supported research initiative, leading to the launch of a commercial drug discovery program targeting Alcohol Use Disorder. The program analyzes high-resolution behavioral patterns associated with ethanol exposure and withdrawal to identify neurobehavioral signals that current treatments address only partially.