Cinctive Capital Leads $16M Bet on NeOnc's Brain Cancer Pipeline

CALABASAS, Calif. – January 30, 2026 – NeOnc Technologies Holdings, Inc. (Nasdaq: NTHI) has secured a significant financial boost in its mission to treat aggressive central nervous system (CNS) cancers, announcing a private investment deal expected to net the company up to $16 million. The transaction is spearheaded by a $10 million lead investment from Cinctive Capital Management, a prominent multi-strategy investment firm, signaling a major vote of confidence from Wall Street in the biopharmaceutical company's innovative approach.

The deal, a private investment in public equity (PIPE), involves the sale of up to 2,222,222 shares of common stock paired with five-year warrants to purchase an equal number of shares. The combined purchase price is $7.20 per unit, with the warrants carrying an exercise price of $9.00. NeOnc has stated its intention to use the net proceeds for repaying debt, bolstering working capital, and for general corporate purposes as it advances its clinical programs.

A Strategic Lifeline from Wall Street

The investment from a firm of Cinctive Capital's stature provides more than just capital; it offers powerful institutional validation for NeOnc's technology. Cinctive, co-founded by industry veteran Rich Schimel, has a track record of identifying high-potential companies, particularly in the complex biotechnology sector. Schimel, who previously held senior roles at firms like Citadel and SAC Capital, has built a reputation for astute investment strategy.

"We see tremendous potential in NeOnc’s proprietary delivery platforms," commented Rich Schimel, Co-Founder and Co-Chief Investment Officer of Cinctive Capital Management. "Our firm seeks opportunities in small-to-mid-cap biotech companies that demonstrate true innovation, and NeOnc fits this profile well." Schimel noted that the investment follows a similarly structured deal with Lifezone Metals, suggesting a strategic pattern of backing companies with unique technological advantages.

For NeOnc, a clinical-stage company with challenging financials typical of the pre-revenue biotech space, this funding is a critical lifeline. The company reported a net loss of $8.6 million in the third quarter of 2025, a substantial increase from the $2.2 million loss in the same period of 2024. This PIPE infusion is therefore essential to extending its operational runway and fueling its ambitious clinical development goals.

Amir F. Heshmatpour, Executive Chairman, President & CEO of NeOnc, emphasized the investment's significance. “This strategic investment from a firm of Cinctive Capital’s caliber validates our technological approach and the potential of our clinical assets," he stated. "We believe this capital will be instrumental as we accelerate our clinical trials and continue to develop therapies designed to bypass the blood-brain barrier."

Cracking the Code of the Blood-Brain Barrier

The core of NeOnc's value proposition lies in its attempt to solve one of neuro-oncology's most persistent challenges: the blood-brain barrier (BBB). This protective membrane shields the brain from toxins but also blocks most therapeutic agents from reaching their targets, rendering many conventional cancer treatments ineffective for brain tumors like glioblastoma.

NeOnc's proprietary NEO™ drug development platform is designed specifically to overcome this obstacle. The company's two lead candidates, NEO100™ and NEO212™, are both in Phase II clinical trials and have been granted Fast-Track status by the U.S. Food and Drug Administration (FDA), a designation intended to expedite the development of drugs for serious conditions.

• NEO100™ is a purified form of perillyl alcohol delivered intranasally. This novel delivery method aims to bypass the BBB and directly target tumors. Early Phase 2a clinical results for recurrent brain cancer have been highly encouraging, showing a 21% response rate, significantly higher than the historical average of less than 8%. Furthermore, data showed that 44% of patients achieved six-month progression-free survival, and 33% remained alive for at least 18 months, all without reports of significant toxicity. These results suggest a potential paradigm shift for treating recurrent IDH1-mutant gliomas.

• NEO212™ is a first-in-class oral chemotherapy agent that chemically conjugates temozolomide (TMZ), a standard-of-care treatment, with perillyl alcohol. The goal is to enhance the drug's ability to cross the BBB and increase its cell-killing activity. After successfully completing a Phase 1 study that established its safety profile, NEO212 is now advancing into Phase II trials. NeOnc believes this therapy has the potential to eventually replace TMZ as a frontline treatment for brain cancers.

Fueling the Race to Market

The $16 million in new funding is poised to directly accelerate these promising clinical programs. With full enrollment completed for the NEO100 Phase 2a trial, the company is on track for a top-line data readout anticipated in May 2026—a major potential catalyst. For NEO212, patient enrollment for the Phase II trial was expected to commence before the end of 2025.

Beyond its two lead programs, NeOnc is also expanding its pipeline. A pediatric brain tumor trial, NEO100-3, is actively recruiting patients. The company is also exploring NEO100's potential application for neurological conditions like Parkinson's disease, with a Phase 1 trial planned. This demonstrates a broader vision for its BBB-crossing technology beyond oncology.

Recent preclinical research in collaboration with the University of Southern California has further highlighted the platform's versatility, showing that NEO100's effectiveness can be enhanced when combined with ultrasound technology guided by an AI-driven platform. As NeOnc pushes its lead candidates through late-stage trials, this continued innovation underscores the long-term potential of its core scientific platform. With fresh capital and a clear line of sight to critical clinical milestones, the company is now positioned at a pivotal inflection point in its journey to transform CNS disease treatment.