Arecor Therapeutics PLC (AIM:AREC) CEO Sarah Howell talked with Proactive about the company's growing revenue streams, key partnerships, and ongoing developments within its proprietary pipeline.
Howell discussed a new formulation development collaboration with Skye Bioscience, which aims to enhance Skye’s CB1 inhibitor, nimacimab, currently in Phase II trials. The formulation will leverage Arecor’s proprietary Arestat™ platform, with the goal of achieving higher concentration formats that can reduce dosing frequency and improve patient adherence.
She noted that this is the third partnership Arecor has announced in 2025, highlighting the demand from pharmaceutical partners for the company's technology. “These are with enhanced properties. They bring improvements patients that are otherwise unachievable,” Howell said.
Arecor currently has three products under license, including AT220, launched globally in late 2023 and now generating royalties. Products in development with Sanofi and another specialty pharmaceutical company, including AT351, also represent long-term revenue potential through milestone and royalty agreements.
Looking ahead, Howell pointed to a strong pipeline focused on diabetes and obesity, including its proprietary ultra-concentrated insulin AT278, and a novel oral peptide delivery platform with expected preclinical data in H2 2025.
Proactive: Sarah, very good to speak with you today. You recently announced a new partnership with Skye Bioscience. Could you tell us more about that please?
Sarah Howell: Yeah. As you said, we announced a formulation development collaboration with Skye Biosciences. They're a Nasdaq-listed, clinical-stage biotech company. It's to leverage our innovative and proprietary formulation technology platform, Arestat, to develop a novel enhanced formulation of Skye's nimacimab. That’s a CB1 inhibitor currently in Phase II clinical trials.
This product has the potential to be a next-generation weight-loss therapeutic, aimed at reducing weight in patients with obesity. It's a really exciting area — one that we’re also engaged in. Our aim is to develop higher concentration formats of their product. That means reduced dosing frequency, improved adherence and compliance, and ultimately better patient outcomes. We’re really excited about the collaboration.
Proactive: This is the third partnership you've announced so far in 2025. Why are these companies choosing to partner with Arecor?
Sarah Howell: Major pharma and biotech companies come to Arecor because we leverage our proprietary platform and expertise to develop enhanced versions of their products. These enhancements bring patient improvements otherwise unachievable. The Skye collaboration is a perfect example.
We’ve entered three collaboration agreements already this year. That’s strong momentum and a clear validation of the value we offer. These deals also bring near-term revenue since partners fund the development phase. Once we’ve developed the formulations, partners can license them for further development and commercialisation, under milestone and royalty-bearing agreements. That creates longer-term value for the business.
Proactive: How about the longer-term upside potential from these agreements? You already have products under license.
Sarah Howell: Yes, we have three licensed products. The most advanced is AT220, a biosimilar that uses Arestat. It launched at the end of 2023 and is now rolling out globally, generating royalty revenue for Arecor.
Another is with Sanofi, in the rare disease space. That product is in its final clinical study before potential approval and commercialisation. The third, AT351, was licensed in late 2024 to a specialty pharma company. It could be the first ready-to-use medicine in a specialist hospital setting. All of these contribute to near-term and long-term revenue through milestone and royalty payments.
Proactive: Can we expect to see more collaborations this year? What else should we be looking for from Arecor?
Sarah Howell: We have a strong pipeline of potential partnerships, so yes, expect more news. Our focus remains on our proprietary pipeline — using Arestat to develop enhanced versions of therapies in high-value areas like diabetes and obesity.
We’re in clinical stages with proprietary insulin products. One, AT278, is highly concentrated and rapid-acting. We’ve shown best-in-class data versus leading insulins. We're making strong progress toward securing a strategic partnership for its further development and commercialisation.
We’re also working on an oral delivery platform for peptides. It’s a tough field — out of over 800 peptide therapeutics in development, only two are available as oral formulations. The low bioavailability is the challenge. We're aiming to overcome that. In H2 this year, we’ll have animal pharmacokinetics data to assess bioavailability.
Proactive: It sounds like a very busy period ahead. Sarah, I hope you'll keep us updated on any progress. Thank you very much for speaking with us today.