IGC Pharma Expands Drug Portfolio to Metabolic Disorders with IGC-1A, A Potential New GLP-1 Agonist

Rhea-AI Summary

IGC Pharma (NYSE American: IGC) has announced that its proprietary molecule, IGC-1A, has been identified as a potential GLP-1 agonist through AI modeling. This discovery marks a significant milestone for the company, potentially expanding its portfolio to include metabolic disorders and weight loss treatments. GLP-1 agonists are known for managing blood sugar levels and promoting weight loss, with potential neuroprotective benefits for Alzheimer's disease.

CEO Ram Mukunda highlighted that IGC-1A and IGC-1C could become effective options for metabolic disorders, comparing favorably to established drugs like Ozempic and Metformin. The company plans to progress with toxicology and dosing studies in 2024, aiming to submit an Investigational New Drug Application to the FDA for IGC-1A.

Positive

• Identification of IGC-1A as a potential GLP-1 agonist, expanding the company's drug portfolio
• Potential entry into the rapidly growing weight loss market
• AI-driven approach revealing new possibilities for metabolic and neurological therapies
• Plans to progress toxicology and dosing studies for IGC-1A in 2024

Negative

• Early stage of development with no assurance of successful clinical trials or FDA approval
• Potential competition from established drugs in the metabolic disorders and weight loss markets

Insights

Biotech Analyst

IGC Pharma's AI-driven discovery of IGC-1A as a potential GLP-1 agonist is intriguing, but caution is warranted. While the company's expansion into metabolic disorders could open new market opportunities, several critical factors need consideration:

• The discovery is based on AI modeling, not clinical trials. The path to FDA approval is long and uncertain.
• The GLP-1 market is highly competitive, dominated by established players like Novo Nordisk and Eli Lilly.
• IGC Pharma's financial position and ability to fund extensive clinical trials are important factors to watch.

Investors should closely monitor the company's progress in toxicology studies and IND submission in 2024, as these will be key milestones in validating the AI-driven discovery.

Market Research Analyst

The potential entry of IGC Pharma into the GLP-1 agonist market is significant, given the sector's explosive growth. Key points to consider:

• The global GLP-1 receptor agonist market was valued at $16.9 billion in 2022 and is projected to reach $57.4 billion by 2030, growing at a CAGR of 16.5%.
• Major players like Novo Nordisk have seen their stock prices soar due to the success of GLP-1 drugs in weight loss.
• IGC Pharma's dual focus on Alzheimer's and metabolic disorders could provide a unique selling proposition if clinical trials prove successful.

However, the company faces significant challenges in terms of market entry, regulatory hurdles and competition from established pharmaceutical giants.

Financial Analyst

IGC Pharma's potential expansion into the lucrative GLP-1 agonist market is a double-edged sword for investors:

• Upside potential: Success could dramatically increase the company's market value, given the multi-billion dollar market for GLP-1 drugs.
• Financial strain: Developing and testing new drugs is extremely costly. As of May 31, 2023, IGC reported cash and cash equivalents of only $5.17 million.
• Dilution risk: The company may need to raise significant capital, potentially diluting existing shareholders.

While the news is promising, IGC Pharma remains a high-risk investment. Its ability to secure funding and advance clinical trials will be important for realizing the potential of IGC-1A.

- Artificial Intelligence Modelling Reveals New Possibilities for Metabolic and Neurological Therapies -

POTOMAC, Md.--(BUSINESS WIRE)-- IGC Pharma, Inc. (NYSE American: IGC) ("IGC Pharma" or the "Company") today announced that the Company's proprietary molecule, IGC-1A, has been identified as a potential GLP-1 agonist, as a result of the Company's state-of-the-art Artificial Intelligence ("AI") modeling. This discovery highlights the versatility of IGC Pharma's drug platforms and marks the Company's potential for strategic expansion to metabolic disorders and weight loss.

Identifying IGC-1A as a potential GLP-1 agonist marks a significant milestone for IGC Pharma, presenting a substantial market opportunity and improving patient care for various conditions. GLP-1 (glucagon-like peptide-1) is a powerful hormone known for its dual role in managing blood sugar levels and promoting weight loss. As GLP-1 agonists gain traction for their effectiveness in treating type 2 diabetes and aiding weight management by increasing satiety and reducing appetite, they are also being explored for their neuroprotective benefits. This could potentially revolutionize treatments for Alzheimer's disease by addressing inflammation and oxidative stress, offering a multifaceted approach to improving patient outcomes.

Ram Mukunda, CEO of IGC Pharma, commented, "Our AI-driven approach has revealed a promising opportunity for IGC-1A and IGC-1C to be potential GLP-1 agonists. This discovery strengthens our Alzheimer's treatment portfolio and also positions us to potentially enter the rapidly growing weight loss market. By comparing IGC-1A and IGC-1C with established drugs such as Ozempic, Tirzepatide, Retatrutide, and Metformin, among others, our AI model indicates that they could become an effective option for metabolic disorders. While we are in the early stages, our molecules allow us to potentially build a portfolio that also focuses on metabolic disorders and obesity with improved tolerability and efficacy compared to current options.

"As we advance toward further validation through clinical trials, we see substantial growth potential in developing innovative treatments that address metabolic and neurodegenerative conditions. Additionally, investigations into IGC-1A have revealed its potential as a GLP-1 agonist, GIP agonist, and a CB1r inverse agonist, opening new avenues for potentially impactful therapies in weight management, neurological disorders, and metabolic disorders."

In 2024, IGC Pharma anticipates progressing toxicology and dosing studies in preparation for submitting an Investigational New Drug Application for IGC-1A to the FDA although there can be no assurance thereof. IGC Pharma's potential strategic expansion to metabolic disorders underscores the Company's commitment to leveraging advanced AI technology to drive innovation and develop impactful solutions that create substantial value for investors.

About IGC Pharma (dba IGC):

IGC Pharma is an AI-powered, clinical-stage biotechnology company focused on developing innovative treatments for Alzheimer's disease and transforming patient care with fast-acting, safe, and effective solutions. Our portfolio includes the TGR family, including TGR-63, which targets amyloid plaques, a hallmark of Alzheimer's. The IGC-C and IGC-M platforms are advancing in preclinical studies, focusing on metabolic disorders, tau proteins, early plaque formation, and multiple disease hallmarks. Our lead therapeutic candidate, IGC-AD1, is a cannabinoid-based treatment currently in a Phase 2 trial for agitation in dementia associated with Alzheimer's (clinicaltrials.gov, NCT05543681). Interim data for IGC-AD1 demonstrated that it has the potential to transform patient care by offering faster-acting and more effective relief compared to traditional medications. Additionally, our AI models are designed to predict potential biomarkers for the early detection of Alzheimer's, optimize clinical trials, and predict receptor affinity, among others. With 28 patent filings and a commitment to innovation, IGC Pharma is dedicated to advancing pharmaceutical treatments and improving the lives of those affected by Alzheimer's and related conditions.

Forward-looking Statements

This press release contains forward-looking statements. These forward-looking statements are based largely on IGC Pharma's expectations and are subject to several risks and uncertainties, certain of which are beyond IGC Pharma's control. Actual results could differ materially from these forward-looking statements as a result of, among other factors, the Company's failure or inability to commercialize one or more of the Company's products or technologies, including the products or formulations described in this release, or failure to obtain regulatory approval for the products or formulations, where required, or government regulations affecting AI or the AI algorithms not working as intended or producing accurate predictions; general economic conditions that are less favorable than expected; the FDA's general position regarding cannabis- and hemp-based products; and other factors, many of which are discussed in IGC Pharma's U.S. Securities and Exchange Commission ("SEC") filings. IGC incorporates by reference its Annual Report on Form 10-K filed with the SEC on June 24, 2024, and on Form 10-Q filed with the SEC on August 7, 2024, as if fully incorporated and restated herein. Considering these risks and uncertainties, there can be no assurance that the forward-looking information contained in this release will occur.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240820622433/en/

IMS Investor Relations

Rosalyn Christian / Walter Frank

igc@imsinvestorrelations.com

(203) 972-9200

Source: IGC Pharma

FAQ

What is the potential new use for IGC Pharma's molecule IGC-1A?

IGC Pharma's proprietary molecule IGC-1A has been identified as a potential GLP-1 agonist, which could be used for treating metabolic disorders, weight loss, and potentially Alzheimer's disease.

How did IGC Pharma discover the potential of IGC-1A as a GLP-1 agonist?

IGC Pharma used state-of-the-art Artificial Intelligence (AI) modeling to identify IGC-1A as a potential GLP-1 agonist.

What are IGC Pharma's plans for IGC-1A in 2024?

In 2024, IGC Pharma plans to progress with toxicology and dosing studies for IGC-1A in preparation for submitting an Investigational New Drug Application to the FDA.

How does IGC-1A compare to existing drugs in the market according to IGC Pharma?

According to IGC Pharma's AI model, IGC-1A and IGC-1C could potentially become effective options for metabolic disorders, comparing favorably to established drugs like Ozempic, Tirzepatide, Retatrutide, and Metformin.