MThera Pharma, a Korean biotech firm, said that it has signed an exclusive licensing agreement with NeuroBo Pharmaceuticals, a subsidiary of Dong-A ST, for the development of the latter’s NB-01 (DA-9801) as a candidate for treating diabetic neuropathy.

However, MThera Pharma did not disclose the financial details of the agreement, citing contractual reasons.

MThera Pharma will lead the research, phase 3 clinical trials, and commercialization of NB-01 both in Korea and the U.S.

NB-01 is a natural product-based candidate derived from Chinese yam and fan-leaf mountain yam that has completed phase 2 clinical trials in both Korea and the U.S. for the indication of diabetic neuropathy.

"We have previously announced our intention to license out our existing assets to focus on the continuous clinical development of our current pipeline, including the obesity treatment candidate DA-1726 and the metabolic-associated steatohepatitis (MASH) treatment candidate DA-1241,” NeuroBo Pharmaceuticals CEO Kim Hyung-heon said. “MThera, with its extensive experience in the manufacturing, quality control, and clinical development of natural and plant-based medicines, is an ideal partner for NB-01."

MThera CEO Son Mi-won also said, "Based on the positive phase 2 clinical results of NB-01 for diabetic neuropathy, we have decided to develop this drug as a treatment for peripheral diabetes.”

The company’s platform technology will allow it to precisely identify the mechanism of action (MoA) and active ingredients of NB-01, predicting its clinical efficacy and advancing it to the next phase of clinical development, Son added.